Does Lemon Law Apply to Private Sales in California?

If you have recently purchased a used vehicle from a private seller and later discovered mechanical issues, you likely are asking yourself, “Does Lemon Law apply to private sales in California?” Unfortunately, Lemon Law is designed primarily to protect people who purchase a new or certified pre-owned vehicle from a dealership that has a warranty still active. Many private sales are sold “as-is.”

Luckily, this does not mean that every legal option on the table is exhausted. If you believe you purchased your car under false pretenses, such as someone misrepresenting the vehicle or intentionally hiding its flaws, you need to connect with an attorney to get started on your case. Depending on the specifics of your transaction, you may be able to seek some compensation for the trouble you have been put through.

Understanding Lemon Law and Private Car Sales in California

In general, California’s Lemon Law does not apply to private sales. This is because one of the main components of the law is that a manufacturer’s warranty must still be intact. Most private sellers are selling used cars without an active warranty, so Lemon Law cannot be pursued in its traditional sense.

However, if any of the following scenarios sounds similar to what you’re dealing with, you may have grounds to pursue some type of justice:

Fraud or Misrepresentation by the Seller

If it’s apparent the private seller lied about the true condition of the vehicle, you can challenge the sale under California’s various fraud statutes. This does not cover cases of minor oversight or misunderstanding but rather where someone has engaged in a deliberate attempt to mislead you as a buyer.

Some of the most common examples of this include:

• Advertising the car as being in excellent condition when there are known issues
• Resetting the odometer to show fewer miles than what was actually driven
• Selling a flood-damaged or salvaged vehicle without disclosing this history
• Providing a fake or altered vehicle history report or inspection record

If you suspect you may be a fraud victim, start documenting everything. Save the online listing, correspondence with the seller, and receipts for your purchases. This information will be critical when you begin your claim.

“As-Is” Sales

Many private vehicle transactions that happen in California are classified as “as-is” sales. This means that the buyer agrees to purchase a vehicle, understanding its current condition, with no guarantees from the seller afterward. This means once you officially sign the title and hand over your payment, you agree to take on all repair responsibilities.

Sometimes bad faith actors try to sell a defective vehicle under the guise of “as-is” trying to get away with fraudulent activity. District attorneys investigated 2,009 cases, made 492 arrests, and prosecuted 1,109 cases involving $13.9 million in fraud, leading to 425 convictions and $1.15 million in restitution. If you can prove this was a deliberate attempt to make money off a vehicle that is worth much less than what you paid, you can work with a lawyer to hold them accountable.

Buying a Used Car With an Active Warranty

While it’s not common, sometimes an active manufacturer’s warranty comes with a used car through a private sale. When this happens, you are eligible to receive benefits under Lemon Law if the car proves to be defective. In some cases, this might provide you with free repairs at an authorized dealership to resolve the issues.

If the issues are persistent and cannot be fixed after multiple attempts, you can team up with an attorney to try and get the car either replaced or refunded. Before buying a used car from a private seller, be sure to:

• Understand the remaining length and coverage of the manufacturer’s warranty.
• Verify that the warranty is transferable to you as the new owner.
• See if the car has any exclusions that might prevent Lemon Law coverage.

FAQs

Q: Can I Return a Used Car I Just Bought From a Private Seller in California?

A: In most cases, a private car sale is final. An individual seller does not have an automatic return policy. Once you officially sign the title and complete the transaction, the car will legally belong to you. There is no obligation on the private seller to ever take the car back unless there is evidence they purposefully engaged in fraudulent activity. If this is the case, team up with a lemon lawyer to hold them accountable.

Q: How Can I Make Sure a Private Seller Is Being Honest About the Car?

A: One of the most effective ways to ensure a seller is being honest about the car they are selling is to conduct your own independent research and inspections. First, request a vehicle history report from one of the main companies online, like Carfax. This can reveal if the car was involved in any accidents, suffered from flood damage, or has issues with the title.

Q: What Happens if a Private Seller Doesn’t Transfer the Title Properly?

A: If a private seller has failed to transfer the car’s title to you in the proper manner, this could present a number of legal and financial challenges. Without the proper title transfer, the DMV will not recognize you as the new owner. This could make it difficult to register the vehicle or obtain insurance. It could also make the seller still responsible for your actions, like having to pay a parking ticket.

Q: What Should I Do if a Private Seller Stops Responding After I Buy the Car?

A: If a private seller has stopped responding to you after you purchased the vehicle, there could be some possible legal action to take depending on the reason why you are reaching back out. If you have discovered mechanical issues, missing paperwork, or are having trouble with the title, all of these are legitimate reasons to warrant a response back. Document every instance where you tried to get in touch with them to use as evidence in court if necessary.

Contact Lemon Law Pro Today

The team at Lemon Law Pro serves California clients statewide. We offer not only a free consultation but do not charge attorney fees if we accept your case. If you recently purchased a vehicle from a private seller in California and have legal questions, contact our firm today.