Lemon Laws in New Jersey

Source: Magnuson-Moss Warranty Act, 15 U.S.C. §§ 2301–2312 (federal warranty law). Each state has its own lemon law statute. Examples: Cal. Civ. Code § 1793.2 (Song-Beverly Consumer Warranty Act), N.Y. Gen. Bus. Law Art. 11-A, Tex. Occ. Code § 2301.601 et seq. Enforced by the FTC (federal) and state attorneys general (state).

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Written in plain language for general understanding. This is educational content, not legal advice. Content is researched from federal statutes, state codes, and official government sources. Each article is reviewed for accuracy before publication. Our editorial process

Federal Law

What is this right?

Lemon laws protect you when you buy a new vehicle that turns out to have a serious defect that cannot be fixed after a reasonable number of repair attempts. If the manufacturer cannot fix the problem, they must either replace the vehicle or give you a refund.

Every state has its own lemon law with different rules about what qualifies, how many repair attempts are required, and what vehicles are covered. At the federal level, the Magnuson-Moss Warranty Act provides a backup right to sue manufacturers who fail to honor written warranties — including vehicle warranties.

When does it apply?

This right generally applies when:

  • You purchased or leased a new vehicle (most state lemon laws cover new vehicles; some states also cover used vehicles)
  • The vehicle has a substantial defect covered by the manufacturer's warranty that impairs its use, value, or safety
  • The defect occurred within a specific time or mileage limit (typically 1-2 years or 12,000-24,000 miles, varies by state)
  • The manufacturer or dealer has had a reasonable number of repair attempts and failed to fix the problem

What counts as a "reasonable number" of repair attempts:

  • Most states: 3-4 repair attempts for the same defect, OR the vehicle has been out of service for 30+ cumulative days
  • Safety defects (brakes, steering, airbags): some states require only 1-2 repair attempts
  • You must give the manufacturer notice and opportunity to repair — you cannot simply demand a refund after one visit

Common misconceptions:

  • "Lemon laws only cover cars" — Most states cover all motor vehicles. Some states also cover motorcycles, RVs, and boats. A few states have broader consumer protection lemon laws covering other products.
  • "My used car is covered" — Most state lemon laws only cover new vehicles. However, some states (California, Connecticut, Massachusetts, Minnesota, New Jersey, New York, Rhode Island) have used car lemon laws.
  • "I can return a car just because I don't like it" — Lemon laws cover manufacturing defects, not buyer's remorse. The defect must be substantial and not caused by you.

What to Do If You Bought a Lemon

Step 1: Document every repair visit. Keep copies of all repair orders, receipts, and correspondence with the dealer. Note the dates, mileage, and a description of the problem each time.

Step 2: Give the manufacturer written notice that you believe the vehicle is a lemon. Many states require a formal written demand before you can file a claim. Send it by certified mail.

Step 3: Check whether your state requires manufacturer arbitration before you can sue. Many manufacturers (and some states) require you to go through an arbitration process first. This is typically free and faster than court.

Step 4: If arbitration fails or is not required, file a lemon law claim in court. Under most state lemon laws and the federal Magnuson-Moss Act, you can recover attorney's fees if you win — meaning many lemon law attorneys take cases on contingency.

Step 5: Choose your remedy: a replacement vehicle of comparable value or a full refund minus a reasonable allowance for your use of the vehicle (calculated by mileage).

What should you NOT do?

Don't stop taking the vehicle in for repairs. You need to establish a record of repair attempts. If you stop going to the dealer, you may not meet your state's threshold for a lemon law claim.

Don't go to an independent mechanic for warranty repairs. Repairs must be performed by an authorized dealer or the manufacturer to count toward your lemon law claim.

Don't accept a settlement without understanding your rights. Manufacturers sometimes offer lowball settlements. Know the full value of your claim — including incidental costs like towing, rental cars, and missed work.

Don't trade in the vehicle before filing your claim. Once you trade it in or sell it, you may lose your lemon law rights. File your claim while you still own the vehicle.

New Jersey Law
NJ

How New Jersey differs from federal law

New Jersey has one of the strongest lemon laws in the country, covering both new and used vehicles:

  • New Vehicle Lemon Law (N.J.S.A. 56:12-29 et seq.): Covers new passenger vehicles within the first 24 months or 24,000 miles (whichever comes first). If the manufacturer cannot repair a substantial defect after 2 repair attempts, or the vehicle is out of service for 20 or more cumulative business days, the consumer is entitled to a replacement vehicle or full refund.
  • Used Car Lemon Law (N.J.A.C. 13:45A-26B): New Jersey is one of the few states that provides lemon law protection for used vehicles. Dealers must provide a warranty on used cars: 90 days or 3,000 miles for vehicles with 24,001–60,000 miles; 60 days or 2,000 miles for vehicles with 60,001–100,000 miles. Vehicles over 100,000 miles are sold "as is" but must be disclosed.
  • NJ Division of Consumer Affairs (DCA) enforcement: The DCA handles lemon law complaints through its Lemon Law Unit. Consumers can file for free arbitration through the DCA rather than going to court.
  • Attorney fees: Prevailing consumers in lemon law cases are entitled to attorney fees and costs under both the Lemon Law and the NJ Consumer Fraud Act.

Additional Steps in New Jersey

File a complaint with the NJ Division of Consumer Affairs Lemon Law Unit at njconsumeraffairs.gov or call (800) 242-5846. You can request free state-run arbitration. Keep all repair orders and documentation of days the vehicle was out of service.

Relevant Law: N.J.S.A. 56:12-29 et seq. (New Vehicle Lemon Law), N.J.A.C. 13:45A-26B (Used Car Lemon Law), N.J.S.A. 56:8-1 et seq. (Consumer Fraud Act)

Common Questions

When does lemon laws apply?

This right generally applies when:You purchased or leased a new vehicle (most state lemon laws cover new vehicles; some states also cover used vehicles)The vehicle has a substantial defect covered by the manufacturer's warranty that impairs its use, value, or safetyThe defect occurred within a specific time or mileage limit (typically 1-2 years or 12,000-24,000 miles, varies by state)The manufacturer or dealer has had a reasonable number of repair attempts and failed to fix the problemWhat counts as a "reasonable number" of repair attempts:Most states: 3-4 repair attempts for the same defect,...

What should I do if my new car keeps breaking down and the dealer can't fix it?

Step 1: Document every repair visit. Keep copies of all repair orders, receipts, and correspondence with the dealer. Note the dates, mileage, and a description of the problem each time.Step 2: Give the manufacturer written notice that you believe the vehicle is a lemon. Many states require a formal written demand before you can file a claim. Send it by certified mail.Step 3: Check whether your state requires manufacturer arbitration before you can sue. Many manufacturers (and some states) require you to go through an arbitration process first. This is typically free and faster than court.Step...

What mistakes should I avoid with lemon laws?

Don't stop taking the vehicle in for repairs. You need to establish a record of repair attempts. If you stop going to the dealer, you may not meet your state's threshold for a lemon law claim.Don't go to an independent mechanic for warranty repairs. Repairs must be performed by an authorized dealer or the manufacturer to count toward your lemon law claim.Don't accept a settlement without understanding your rights. Manufacturers sometimes offer lowball settlements. Know the full value of your claim — including incidental costs like towing, rental cars, and missed work.Don't trade in the vehicle...

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