The used car warranty law is also popularly known by another name, ‘Lemon law’. It refers to the law that safeguards the car purchasers against the fraudulent purchase of cars. Lemon is a term given to those vehicles that are found to be irreparable after so many persistent repairs. The repairs of these cars are the responsibility of the dealer.

There are some cars where its machinery suffers from many defects that occur in it within a time frame from the date of  purchase. Therefore, in such cases, the law says that the owner should get a new car in replacement with the lemon car or should be refunded with full purchase price.

Under Lemon law, only major car defects are covered not the smaller and minor ones.

The manufacturer is given some chances to repair the vehicle within the specified period of time. If the manufacturer is not able to fix the faults in the vehicle, the consumer can file a lawsuit under the lemon law. The court orders the auto dealer to investigate the car on behalf of both the parties.

This law is also applicable for the purchasers of the used cars. The law states that the cars with defects can’t be resell without it being properly checked and repaired by the manufacturer and dealer. The used car that is sold has to be accompanied with a written warranty from the dealer and seller.