The Texas Lemon Law: New Vehicles That Keep Failing Under Warranty in 2026

What the law covers

The TxDMV's lemon law page describes a state law it administers to help consumers who buy or lease a new motor vehicle and have repeated problems getting it repaired under the manufacturer's original warranty, with the vehicle repurchased, replaced or repaired, usually faster and cheaper than court. It covers new cars, trucks, vans, motorcycles, all-terrain vehicles, motor homes, towable recreational vehicles and neighborhood electric vehicles with a defect covered by a written warranty, and demonstrators never previously titled; it does not cover repossessed vehicles, non-travel trailers, boats or farm equipment, or defects that do not substantially impair the use or market value, such as minor rattles or radio static. A used vehicle still under the manufacturer's original warranty, or whose defect was reported to the dealer during that warranty and persists, may qualify for repair assistance under the state's warranty performance law.

The tests

A vehicle is a lemon when all of these hold: a substantial manufacturing defect, covered by the written warranty, reported to the dealer or manufacturer within the warranty term, with a reasonable number of repair attempts given to the dealer, written notice to the manufacturer (preferably by certified mail, using the TxDMV's sample letter) with at least one chance to cure, and a defect that persists and substantially impairs use or market value or creates a serious safety hazard. The law presumes a reasonable number of attempts when one of three tests is met in the first 24 months or 24,000 miles, whichever comes first: the four-times test, four repair visits for the same defect with the defect unrepaired; the serious safety-hazard test, two visits for a life-threatening malfunction that impedes control of the vehicle or risks fire or explosion; and the 30-day test, 30 or more days out of service for warranty repairs, not necessarily consecutive and not counting days a comparable loaner was provided, with a substantial defect remaining. The mileage figures generally do not apply to towable RVs and other vehicles without an odometer.

The filing deadline

A complaint must be filed within six months after the earliest of three events: the expiration of the express warranty term, 24 months after purchase, or 24,000 miles after delivery (except for towable RVs). The TxDMV says to file as soon as the consumer realizes the dealer is having trouble repairing the vehicle, and to call its Lemon Law Section at 1 (888) 368-4689 or consult a lawyer, since the deadlines are specific. The statute is Chapter 2301, Subchapter M of the Texas Occupations Code.

What the TxDMV can order

After proving the case, one of three remedies, decided on the facts of each case. Refund: the manufacturer buys the vehicle back for the purchase price including taxes, title and license fees, minus an amount for the consumer's use calculated by a formula from the mileage at the hearing and other factors (the TxDMV publishes the repurchase spreadsheets for purchases, leases and towable RVs), with interest paid on the vehicle not included. Replacement: a comparable vehicle acceptable to the consumer, usually the same make, model and accessories, minus the mileage used, with the consumer paying for any upgrade. Repair: the manufacturer fixes the defects and may be ordered to reimburse out-of-pocket repair costs that the warranty should have covered. Only new vehicles qualify for a refund or replacement.

The complaint, mediation and hearing

The consumer files the complaint with the $35 fee, fastest through the TxDMV's online complaint system, and gives the manufacturer notice with a last opportunity to repair. The Lemon Law Section staff and an assigned case advisor review it for completeness and eligibility and try to settle it by mediation; an unresolved case goes to a hearing before an assigned examiner where both sides present their case, described on the TxDMV's Office of Administrative Hearings page. The examiner issues a final written decision within 60 days after the hearing closes; either party may file a motion for rehearing with the TxDMV and, still dissatisfied, appeal to a state district court in Travis County.

The TxDMV's advice

Before trouble: read the warranty and owner's manual, follow the maintenance schedule, and have an authorized dealer do warranty repairs. When a problem appears: take the vehicle to the servicing dealer, describe the problem precisely so the repair order records it, confirm the repair and return if it persists, keep a log with dates, times and places, keep every repair order, and stay in touch with the service department. Stay informed through the manufacturer's technical service bulletins and NHTSA's recall site, and research the make and model before buying. For a hearing: be prepared, organize the main points, bring the vehicle for inspection and any witnesses, read the examiner's recommendation afterward and file objections on time. The TxDMV keeps a separate page on the Takata air bag recall.

Questions about the Texas Lemon Law

What vehicles does the Texas Lemon Law cover?

New cars, trucks, vans, motorcycles, all-terrain vehicles, motor homes, towable recreational vehicles and neighborhood electric vehicles with a defect covered by the manufacturer's written warranty, and demonstrators never titled before; not repossessed vehicles, non-travel trailers, boats, farm equipment, or defects such as rattles and radio static that do not substantially impair use or value. A used vehicle still under the original factory warranty may get repair assistance.

How many repair attempts count as reasonable?

Four for the same defect within the first 24 months or 24,000 miles with the defect unrepaired; two for a serious safety hazard in the same period; or 30 days or more out of service for warranty repairs in that period, not counting days a comparable loaner was provided. The mileage limits generally do not apply to towable RVs.

What is the deadline?

Six months after the earliest of the express warranty's expiration, 24 months after purchase, or 24,000 miles after delivery (except for towable RVs). The TxDMV says to file as soon as it is clear the dealer cannot fix the vehicle.

What does it cost and what can I win?

A $35 filing fee. The TxDMV can order a refund of the purchase price including taxes, title and license fees minus an amount for use (interest excluded), a comparable replacement minus the mileage used, or repair with reimbursement of out-of-pocket costs that the warranty should have covered; refunds and replacements are for new vehicles only.

Do I have to notify the manufacturer first?

Yes, in writing, preferably by certified mail, with at least one opportunity to cure the defect; the TxDMV provides a sample letter. Keeping repair orders and a log of each occurrence is part of its advice.

What happens at a hearing?

An independent administrative hearing examiner hears both sides, the vehicle is brought for inspection, and a written decision follows within 60 days of the close of the hearing; either party may move for rehearing with the TxDMV and then appeal to a state district court in Travis County.