Oregon Lemon Law 2025: Rules, Rights, and Claim Process

Oregon Lemon Law

Buying a new car should bring peace of mind. You expect the car to work well, stay reliable, and run without major trouble. But not every car leaves the lot in perfect shape. Some have ongoing issues that don’t get fixed after several tries. These vehicles cause stress, lost time, and big repair bills. When this happens, the Oregon Lemon Law may help.

This law protects people who buy or lease new vehicles in the state. It sets clear rules for when a car qualifies as a “lemon.” It also explains what buyers can do when their car does not meet quality standards. The law gives you a way to ask for a refund or replacement.

Many drivers do not know their rights. They keep paying for repairs or driving unsafe cars. This guide will show you what the Oregon Lemon Law says. It will explain who qualifies, what steps to take, and how to file a claim. Everything is written in clear, simple language to help you act with confidence.

If your car has been in the shop too often or still has the same problem, you are not alone. Learn what this law covers and what to do next. You may not need to deal with the hassle much longer.

What Is the Oregon Lemon Law?

The Oregon Lemon Law is a state rule that protects car buyers. It covers cars that turn out to have serious defects or problems. If the defect lowers the use, safety, or value of the car, and the maker cannot fix it after a few tries, the buyer may ask for a refund or a new car.

The law applies only to new cars sold or leased in Oregon. It gives clear rights to the person who first buys or leases the vehicle. The car must be under warranty when the problem starts. The maker or dealer must have had a fair chance to fix the problem.

This law does not cover every issue. Small problems or minor flaws may not count. But if the issue is serious and the shop has tried to fix it more than once, you may have a case.

Vehicles Covered Under Oregon Lemon Law

The Oregon Lemon Law only protects certain types of vehicles. Not every car on the road meets the rule. The law focuses on new vehicles that meet clear terms.

To qualify, the vehicle must be sold or leased in Oregon. It must be new at the time of delivery. The total weight must stay under 12,000 pounds. The law protects cars used for personal or family purposes, not for business or commercial use. The defect must appear during the time the car is under the original factory warranty.

Leased cars may also qualify if the lease began in Oregon and the car meets the same weight and use rules as a purchase. The lease must also include the same type of warranty coverage.

Used cars do not usually fall under this law. There is one key exception. If a used car still carries the original manufacturer’s warranty, the buyer may still have some protection. This depends on the terms of that warranty and the date of the first purchase.

Some types of vehicles are not included. Motorcycles, farm tractors, and large trucks are excluded. These do not meet the weight or use limits of the law.

It helps to read your sale or lease documents. Check the title, warranty, and the date of purchase. If your car meets all the listed conditions, the law may offer strong protection.

What Counts as a Lemon

Some cars have issues that do not go away. Even after repair, the same problem returns. If this happens, your car may qualify as a lemon under Oregon law.

The problem must be serious. It must lower the car’s value, stop it from working right, or make it unsafe. The defect must appear early. It must show up within two years after you get the car or before the car reaches 24,000 miles. The first of those two marks is the cutoff.

To qualify, the maker or dealer must try to fix the issue and fail. If the same defect comes back after four or more repair attempts, the car may meet the lemon law test. Another way is if the car stays at the shop for 30 days or more in total due to repairs. These days do not need to be in a row. They just need to add up.

The law only covers defects that appear under the original warranty. It does not cover problems caused by damage, misuse, or any changes made after the sale. You must be able to show records. This means keeping every service note, receipt, and work order.

Clear proof makes your case strong. If the records show repeat repairs and long delays, you may have a real lemon on your hands.

Steps to Take Before Filing a Claim

The Oregon Lemon Law gives clear protection, but you must follow the right steps first. The law expects you to give the car maker a fair chance to fix the problem. It also expects you to keep clear records. These early actions often decide whether your claim will succeed. Take each step seriously.

Start with Repairs

You cannot file a claim without trying repairs first. The dealer or maker must have a chance to fix the defect. Take the car to an authorized repair shop. Let them inspect and attempt repairs. Do not ignore early signs of trouble. Waiting too long may hurt your case.

Every time you go in for service, ask for a repair order. Check that it lists the date, the problem you reported, and what work they did. Keep all service papers in a safe place. If they do not give you paperwork, ask for it. These records will show how many times the problem happened and how long the car stayed at the shop.

Send Written Notice to the Manufacturer

If the repair shop cannot fix the issue, contact the vehicle’s manufacturer. Do not rely on phone calls or emails. Write a letter. Keep your message short and clear. Describe the problem, mention the repair dates, and explain that the defect still exists. Ask them to fix the issue or replace the vehicle.

Mail this letter using certified mail or another tracking method. Keep a copy for your records. You need proof that the company received it. If they fail to respond or refuse to help, your next step becomes easier to justify.

Check for Arbitration Options

Some car makers offer a free program to settle disputes. This is called arbitration. It helps both sides avoid court. In many cases, the Oregon Lemon Law requires you to try this option before you sue. You can find details in your warranty booklet or on the car maker’s website.

If an arbitration program exists, read the rules and apply. You will need to provide copies of all repair orders, your letter to the manufacturer, and other key documents. The program will review your case and make a decision. Some decisions are binding, and others are not, depending on the program.

This step may sound hard, but it often leads to fast results. You might receive an offer for a refund, a new car, or another solution. If the program does not work out, you will still have the option to go to court.

What You Can Get if You Win

The Oregon Lemon Law offers real help if your car meets the rules. Once your vehicle is declared a lemon, the law gives you two main options. You may choose a replacement or a refund, based on what fits your case best.

A replacement means the car maker gives you a new vehicle. The new car must be similar to the one you bought. It should match in model, features, and value. This option helps you move forward without more stress. The maker may still charge you for the miles you drove before the defect appeared. That charge is called a usage fee.

A refund gives you your money back. This includes the full purchase price, taxes, title fees, and loan payments. If you traded in another car, the value of that trade may count too. The maker may subtract a small amount based on how much you used the car before the problem started.

You do not have to take what the dealer offers first. You can ask questions, compare both options, and choose what works better for you. The goal is to make things right. You should not lose money because you bought a defective car. The law supports a fair deal.

What If the Maker Refuses?

If the maker refuses your request or ignores your letter, you may file a lawsuit. Oregon allows you to sue in court under the Lemon Law. If you win, the court may also order the maker to pay your legal fees.

Before filing, talk to a lawyer who knows this area of law. They can guide you through the claim and help protect your rights.

You must file your claim within one year after the Lemon Law time period ends. That means one year after the two-year or 24,000-mile limit. Do not wait too long. If you miss the deadline, you may lose your rights.

Why Documentation Is Key

Proof matters. If your car has a serious defect, you need records. These records show what happened, when it happened, and how often it happened. Without them, your case may not move forward.

Start keeping paperwork from the first repair. Save every repair order. Each one should list the date, the issue reported, and the work done. Check for errors on these forms. Make sure they match what you told the shop.

Also keep receipts, notes, and service logs. If you sent letters or emails to the dealer or maker, keep copies. Print them or store them somewhere safe. They help show that you asked for help and followed the right steps.

Your sale and warranty papers matter too. They prove the car was covered when the problem began. This is key to making your claim valid under the law.

These documents speak for you. They tell your story in a clear, legal way. A judge, arbitrator, or company rep will want to see facts, not just your word. Strong records can turn a weak case into a strong one. Never throw them away. They may be the reason you win.

When a Lawyer Can Help

You do not always need a lawyer, but one can help in tough cases. If the maker refuses to talk, or the arbitration does not work, a lawyer can take your case to court. Oregon law allows courts to order the car maker to pay legal costs if you win.

A lawyer knows how to present the case, deal with deadlines, and push for a fair result. In some cases, the lawyer may not charge you upfront.

What About Used Cars?

Used cars are tricky. Oregon Lemon Law does not cover most used cars. But there are other laws that may help. If the used car still has the original factory warranty, it may count. Also, if the seller lied about the condition of the car, you may have a fraud case.

Oregon also has rules about unfair trade and warranties. Check with the Oregon Department of Justice or a lawyer if you think your used car sale broke the rules.

Conclusion

The Oregon Lemon Law protects buyers who end up with faulty cars. It gives a clear path to a fair result. If your vehicle cannot be fixed, the law may help you get a refund or a replacement.

This law covers new cars sold or leased in Oregon. It applies when the defect shows up early and the maker fails to fix it. You must act within the time limits and follow the right steps. That means trying repairs, keeping records, and sending a formal notice.

If the company ignores you or refuses to help, you can push your case forward. You may try arbitration or take the matter to court. The law supports your right to a working vehicle.

Do not let stress take over. You do not have to live with a bad car. Use the law. Take action. Get the result you deserve.

If the defect leads to injury or risk of harm, you should also learn how to protect yourself. Read The Smart Way to Handle Minor Injuries Under California Law for helpful legal steps.

This guide is for general information only. It does not give legal advice. Always speak to a qualified attorney before making legal decisions.

Scroll to Top