Colorado Lemon Law: Complete Guide for 2026


Last verified: February 2026

Key Points

  • Primary Law: Colorado Motor Vehicle Repair Act (C.R.S. § 42-10-101 through § 42-10-107)
  • Coverage: New private passenger motor vehicles purchased or leased in Colorado
  • Presumption: 4+ repair attempts OR 30+ business days out of service within 1 year or warranty term
  • Remedies: Replacement vehicle or full refund at consumer’s choice
  • Notice Required: Written notice to manufacturer before pursuing remedies
  • Attorney Fees: Prevailing consumer may recover reasonable attorney fees and costs

Quick Penalties Overview

Violation Type Consumer Remedy Additional Damages
Failure to repair after reasonable attempts Replacement or refund Incidental damages, attorney fees
Willful violation of lemon law Actual damages Court may award up to 2x damages
Failure to disclose lemon status on resale Purchaser remedies Title branding required

Table of Contents

📑 Table of Contents (click to expand)

Understanding Colorado’s Lemon Law

Colorado’s lemon law, officially known as the Motor Vehicle Repair Act and codified in Colorado Revised Statutes § 42-10-101 through § 42-10-107, provides important consumer protections for buyers and lessees of new private passenger motor vehicles that fail to conform to the manufacturer’s express warranty.

The Colorado lemon law is notable for its use of business days rather than calendar days for calculating the out-of-service period. This means the 30-day threshold may take longer to reach in actual time than in states using calendar days. The law also gives consumers the important right to choose between a replacement vehicle and a full refund.

Colorado’s consumer-friendly approach requires manufacturers to either repair the defect or provide appropriate relief. The law recognizes that consumers who purchase new vehicles have a right to expect them to function properly, and it provides meaningful remedies when manufacturers fail to deliver on their warranty promises.

What Vehicles Are Covered

Colorado’s lemon law covers specific types of vehicles purchased or leased in the state.

Covered Vehicle Types

  • New private passenger vehicles: Cars, sedans, coupes, and similar automobiles
  • Trucks: Pickup trucks used primarily for personal purposes
  • Vans: Passenger vans and minivans
  • SUVs: Sport utility vehicles
  • Leased vehicles: New vehicles obtained through lease agreements
  • Demonstrator vehicles: Demo vehicles sold as new with warranty

Vehicles Not Covered

  • Used vehicles
  • Motorcycles
  • Motor homes and recreational vehicles
  • Off-road vehicles not primarily designed for highway use
  • Vehicles used primarily for commercial or business purposes
  • Vehicles with a gross vehicle weight rating over 10,000 pounds

Colorado’s Lemon Law Presumption

Colorado law creates a rebuttable presumption that a reasonable number of repair attempts have been made if certain conditions are met within the specified time period.

The Lemon Law Presumption Applies When:

Condition Requirement Details
Repair Attempts (Same Problem) 4 or more attempts Same nonconformity must substantially impair use and market value
Days Out of Service 30 or more business days Vehicle unavailable due to repair of one or more nonconformities
Timeframe Within 1 year or warranty term Whichever comes first from date of original delivery

Important: Colorado uses business days for the out-of-service calculation. Business days typically exclude Saturdays, Sundays, and state holidays, which can extend the actual time period.

What Qualifies as a “Nonconformity”?

A nonconformity is any defect or condition that substantially impairs the use and market value of the motor vehicle. Examples include:

  • Engine failures or persistent performance problems
  • Transmission defects affecting drivability
  • Brake system malfunctions
  • Steering problems creating safety hazards
  • Electrical failures affecting critical systems
  • Heating and defrost system failures (important in Colorado’s climate)
  • Four-wheel drive or all-wheel drive system defects
  • Suspension problems affecting handling

Consumer Remedies: Refund vs. Replacement

When a vehicle qualifies as a lemon under Colorado law, the consumer has the right to choose between a replacement vehicle and a full refund.

Option 1: Replacement Vehicle

If the consumer chooses replacement, the manufacturer must provide:

  • A comparable new motor vehicle
  • All applicable express warranties
  • Reimbursement for incidental costs including registration and taxes

Option 2: Refund (Buyback)

If the consumer chooses a refund, the manufacturer must provide:

  • Full purchase price: Including sales tax and fees
  • License and registration fees: All DMV costs
  • Collateral charges: Dealer fees and similar costs
  • Finance charges: Interest and loan fees paid
  • Incidental damages: Towing, rental cars, and related costs

Usage Deduction: The manufacturer may deduct a reasonable allowance for the consumer’s use of the vehicle:

Usage Deduction = (Purchase Price x Miles at First Repair) / 120,000

How to File a Lemon Law Claim in Colorado

Filing a successful lemon law claim in Colorado requires proper documentation and following specific procedures.

Step 1: Document Everything

  • Keep all repair orders and invoices
  • Record dates your vehicle entered and left the repair shop
  • Document the specific problems and symptoms
  • Save all correspondence with the dealer and manufacturer
  • Photograph or video defects when possible
  • Keep receipts for rental cars and towing

Step 2: Allow Reasonable Repair Attempts

Give the manufacturer or its authorized dealer adequate opportunity to repair the vehicle. You need at least four attempts for the same problem or 30 business days out of service to invoke the presumption.

Step 3: Provide Written Notice to Manufacturer

Before pursuing remedies, send written notice to the manufacturer by certified mail that includes:

  • Your name and contact information
  • Vehicle information (year, make, model, VIN)
  • Description of the nonconformity
  • Repair history summary with dates
  • Your requested remedy (replacement or refund)

Step 4: Consider Arbitration

If the manufacturer has an informal dispute settlement procedure, you may choose to use it. Colorado does not mandate arbitration, but it may provide faster resolution.

Step 5: File a Lawsuit if Necessary

If the manufacturer fails to provide an adequate remedy, you may file a lawsuit in Colorado state court. Prevailing consumers may recover attorney fees and costs, and the court may award up to twice the amount of damages for willful violations.

Manufacturer Defenses

Manufacturers may raise several defenses to avoid lemon law liability in Colorado.

Common Manufacturer Defenses

Defense Manufacturer’s Argument Consumer’s Counter
Consumer abuse or neglect Defect caused by improper use or maintenance failure Provide maintenance records showing proper care
Unauthorized modifications Aftermarket parts or modifications caused the problem Show defect existed before modifications or is unrelated
Defect not substantial Problem does not substantially impair use and market value Document impact on daily use and resale value
Insufficient repair opportunities Manufacturer was not given adequate chance to repair Provide complete repair history meeting presumption
Accident damage Problem resulted from collision or external event Expert testimony showing defect is manufacturing related

Used Vehicle Protections

Colorado’s lemon law does not cover used vehicles. However, used car buyers have other potential protections:

Available Protections for Used Vehicles

  • Remaining manufacturer warranty: Used vehicles still under warranty may have warranty claims
  • Dealer warranties: Some dealers offer limited warranties on used vehicles
  • Implied warranty of merchantability: Unless properly disclaimed, vehicles must be fit for ordinary use
  • Federal Magnuson-Moss Warranty Act: Provides remedies for warranty breaches
  • Colorado Consumer Protection Act: Protects against dealer fraud and misrepresentation

Title Branding

Colorado requires that vehicles repurchased under the lemon law have their titles branded to notify future buyers of the vehicle’s history.

Statute of Limitations

Colorado’s lemon law has specific timeframes:

  • Reporting period: Nonconformities must be reported within the warranty term or one year from delivery, whichever is earlier
  • Presumption period: Repair attempts must occur within this same timeframe
  • Filing deadline: Claims should be pursued promptly after meeting presumption requirements

Frequently Asked Questions

How many repair attempts does Colorado require before a vehicle is considered a lemon?

Colorado’s lemon law presumption requires either four or more repair attempts for the same substantial defect, or 30 or more business days out of service. These conditions must occur within the warranty term or one year from delivery, whichever is earlier.

Do I get to choose between a refund and replacement in Colorado?

Yes, Colorado law gives the consumer the choice between a replacement vehicle and a full refund. The manufacturer cannot force you to accept one remedy over the other.

Does Colorado’s lemon law cover used cars?

No, Colorado’s lemon law only covers new private passenger motor vehicles. Used vehicles may be protected under the original manufacturer’s warranty if still in effect, or under other consumer protection laws.

What is a “business day” under Colorado’s lemon law?

Business days typically include Monday through Friday, excluding state and federal holidays. This means the 30-day out-of-service period may take longer in actual calendar time than in states that use calendar days.

Are heating and four-wheel drive problems covered under Colorado’s lemon law?

Yes, given Colorado’s climate and terrain, heating system failures and four-wheel drive defects that substantially impair the use and market value of the vehicle would likely qualify as nonconformities.

What damages can I recover in a Colorado lemon law case?

You may recover the purchase price, fees, finance charges, incidental damages, and attorney fees. If the court finds a willful violation, you may be awarded up to twice the amount of damages.

Resources and Legal Help

Official Resources

Related State Laws

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