Understanding and navigating new legal changes can be challenging, and recent amendments to California’s Lemon Law are no exception. With the passage of Assembly Bill 1755 (AB 1755) and Senate Bill 26 (SB 26), the state has introduced sweeping reforms designed to streamline the resolution of motor vehicle warranty disputes. California’s Lemon Law had provided an important avenue for consumers to address the issue of repeated defects under warranty in their new motor vehicles. The new changes purport to reduce strain on the judicial system but may result in automotive manufacturers feeling emboldened to ignore consumer complaints.
AB 1755, titled “Actions for Restitution for or Replacement of Certain Motor Vehicles,” took effect in phases beginning January 1, 2025. For manufacturers that choose to opt in, the statute imposes new procedural requirements and civil litigation rules codified in Code of Civil Procedure §§ 871.20–871.30. These include a revised statute of limitations (i.e. time limit to file a lawsuit), a new framework for the ability to seek penalties against manufacturers, new discovery rules, and strict compliance timelines.
Manufacturers have the option to formally opt into this enhanced framework. Unfortunately, the consumer is deprived of the same option with regards to the law once the manufacturer makes its decision. The Department of Consumer Affairs’ Arbitration Certification Program (ACP) is required to maintain and publish an annual list of participating manufacturers by December 15. That list can be found here:
Notably, consumers must provide a written demand 30 days before filing suit in order to seek penalties against the manufacturer as part of the suit.
With lemon law filings exceeding 25,000 in 2024 alone, these legislative updates reflect California’s effort to modernize and manage the increasing volume of claims. However, while the streamlined procedures may benefit manufacturers by promoting early resolution, consumer advocates have raised concerns that the compressed timelines and rigid procedures may inadvertently burden consumers—particularly those unfamiliar with their legal rights or unable to act quickly. The Song-Beverly Consumer Warranty Act has long been a hallmark of strong consumer protections, and to remain true to that legacy, the Legislature should consider further amendments that restore a more consumer-friendly balance. This includes extending the time consumers have to file suit and ensuring broader access to information held by manufacturers pertaining to knowledge of known defects.
As the new laws take effect, thoughtful adjustments are essential to keep the Lemon Law aligned with its original purpose: protecting Californians from unfair outcomes when their vehicles don’t live up to their warranties.
MMO Law, A.P.C. has experience filing lawsuits and negotiating lemon law claims throughout Los Angeles, San Diego, Van Nuys, Orange County, San Bernardino, Bakersfield, Kern County, Palm Springs and many other counties throughout California.
Call today at (310) 933-4493 or visit www.lemonmike.com for a free consultation with a local California Lemon Law Attorney representing clients in Los Angeles, San Diego and throughout California regarding your potential Lemon Law claim.
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