Last verified: February 2026
Key Points
- Primary Law: Oregon Motor Vehicle Lemon Law (ORS 646A.400 to 646A.418)
- Coverage: New motor vehicles purchased or leased in Oregon within first 2 years or 24,000 miles
- Presumption: 3+ repair attempts (1+ for safety defects) OR 30+ calendar days out of service (60 for motorhomes)
- Remedies: Refund or replacement vehicle at consumer’s choice
- No Cancellation Right: Oregon does not have a 3-day right to cancel vehicle purchases
- Arbitration: BBB AUTO LINE available for many manufacturers
Quick Penalties Overview
| Violation Type | Consumer Remedy | Additional Damages |
|---|---|---|
| Failure to repair after reasonable attempts | Refund or replacement vehicle | Attorney fees if consumer prevails |
| Manufacturer refuses to comply | Court-ordered remedy | Costs and incidental damages |
| Unfair trade practices | Unlawful Trade Practices Act remedies | Actual damages and potential penalties |
Table of Contents
📑 Table of Contents (click to expand)
- Oregon Lemon Law Overview
- What Vehicles Are Covered
- Oregon’s Lemon Law Presumption
- Consumer Remedies: Refund vs. Replacement
- How to File a Lemon Law Claim
- Manufacturer Defenses
- Used Vehicle Protections
- Dispute Resolution Options
- Statute of Limitations
- Frequently Asked Questions
- Resources and Legal Help
Oregon Lemon Law Overview
Oregon’s Lemon Law is codified in Oregon Revised Statutes Sections 646A.400 through 646A.418. The law protects consumers who purchase or lease new vehicles that have substantial defects affecting their use, value, or safety.
According to the Oregon Department of Justice, the lemon law extends protection for two years or 24,000 miles from the purchase or lease of a new vehicle. If your vehicle qualifies as a lemon, you can receive a replacement vehicle or a refund, less a reasonable allowance for use.
One important distinction in Oregon: the state does not have a three-day right of cancellation for vehicle purchases. Unless a cancellation right is specifically written into your sales contract, you cannot return a vehicle simply because you changed your mind. However, if the vehicle is defective, the Lemon Law provides remedies.
What Vehicles Are Covered
Oregon’s Lemon Law covers new motor vehicles purchased or leased in the state.
Covered Vehicle Types
- New passenger cars: Sedans, coupes, hatchbacks
- Trucks: Pickup trucks and light-duty trucks
- Vans: Including minivans and passenger vans
- SUVs: Sport utility vehicles
- Motorhomes: Covered with extended time requirements (60 days out of service)
- Leased vehicles: New vehicles leased for personal use
Vehicles Not Covered
- Used vehicles
- Motorcycles (may have limited coverage)
- Commercial vehicles used primarily for business
- Off-road vehicles not designed for highway use
- Vehicles purchased outside Oregon
Oregon’s Lemon Law Presumption
Under Oregon law, a vehicle is presumed to be a lemon if certain conditions are met within the first two years or 24,000 miles of ownership, whichever comes first.
The Lemon Law Presumption Applies When:
| Condition | Requirement | Details |
|---|---|---|
| Repair Attempts (Same Problem) | 3 or more attempts | Same defect substantially reducing use, value, or safety |
| Safety Defect | 1 or more attempts | For defects likely to cause injury or death, if problem remains |
| Days Out of Service (Regular Vehicles) | 30 or more cumulative calendar days | Vehicle unavailable for repair of covered defects |
| Days Out of Service (Motorhomes) | 60 or more cumulative calendar days | Extended period for motorhome repairs |
| Coverage Period | 2 years or 24,000 miles | Whichever comes first from date of purchase |
Note: Oregon requires only 3 repair attempts (compared to 4 in some states), and only 1 attempt for safety-related defects. This can make it easier for consumers to qualify for protection.
What Qualifies as a Substantial Defect?
A defect must substantially reduce the vehicle’s use, value, or safety. The problem must be significant enough to affect your ability to use the vehicle as intended. Examples include:
- Engine or transmission failures
- Brake system defects
- Steering problems
- Electrical system failures
- Safety system malfunctions
- Significant fluid leaks
- Persistent stalling or hesitation
- Defective heating or cooling systems
Consumer Remedies: Refund vs. Replacement
When a vehicle qualifies as a lemon under Oregon law, the consumer may choose between two remedies.
Option 1: Full Refund (Buyback)
The manufacturer must refund:
- Full purchase price: Including taxes and fees
- License and registration fees: DMV-related costs
- Finance charges: Interest and financing costs
- Incidental costs: Reasonable expenses caused by the defect
Usage Deduction: The manufacturer may deduct a reasonable allowance for the consumer’s use of the vehicle. This is typically calculated based on miles driven before the first repair attempt.
Option 2: Replacement Vehicle
The consumer may request a comparable replacement vehicle. The replacement must be:
- Of similar value and specifications
- Acceptable to the consumer
- Covered by the manufacturer’s warranty
How to File a Lemon Law Claim in Oregon
Filing a lemon law claim in Oregon requires proper documentation and following the correct procedures.
Step 1: Document All Repairs and Communications
- Keep copies of all repair orders and invoices
- Record dates the vehicle was brought in for service
- Document the specific problems reported
- Count the calendar days the vehicle was unavailable
- Save all correspondence with the dealer and manufacturer
Step 2: Report Each Problem to the Manufacturer or Dealer
Each malfunction must be reported to the manufacturer or dealer, giving them an opportunity to fix the problem. Without proper reporting, you may not meet the statutory requirements.
Step 3: Allow Required Repair Attempts
You must give the manufacturer or dealer the opportunity to repair the vehicle:
- At least 3 failed repair attempts for the same problem, OR
- At least 1 failed attempt for a safety-related defect, OR
- 30+ calendar days out of service (60+ for motorhomes)
Step 4: Consult with an Attorney
The Oregon Department of Justice recommends contacting a private attorney if you believe you have been sold a lemon. The Oregon State Bar referral service can help you find appropriate legal representation at 503-684-3763 or toll-free in Oregon at 1-800-452-7636.
Step 5: Consider Arbitration or Litigation
Depending on the manufacturer, you may have access to arbitration programs like BBB AUTO LINE, or you may need to pursue your claim in court.
Manufacturer Defenses
Manufacturers may raise several defenses to avoid lemon law liability in Oregon.
Common Manufacturer Defenses
| Defense | Manufacturer’s Argument | Consumer’s Counter |
|---|---|---|
| Consumer abuse or neglect | Defect caused by owner misuse | Provide maintenance records showing proper care |
| Unauthorized modifications | Aftermarket parts caused the problem | Show defect existed before modifications |
| Defect not substantial | Problem does not substantially reduce use, value, or safety | Document specific impacts on vehicle use |
| Insufficient repair attempts | Consumer did not allow required attempts | Show repair history meets statutory requirements |
| Outside coverage period | Defect reported after 2 years or 24,000 miles | Show first report was within coverage period |
Used Vehicle Protections
Oregon’s Lemon Law applies only to new vehicles. However, used vehicle buyers have other protections.
Alternative Protections for Used Vehicle Buyers
- Remaining manufacturer warranty: If the original warranty is still in effect
- Oregon Unlawful Trade Practices Act: Prohibits deceptive and unfair business practices
- Dealer warranties: Written warranties provided by the selling dealer
- Federal Magnuson-Moss Warranty Act: Federal warranty protections
Oregon Used Vehicle Disclosure Requirements
Oregon law requires dealers to disclose certain information about used vehicles:
- Known material defects
- Salvage or rebuilt title status
- Flood damage history
- Odometer discrepancies
Dispute Resolution Options
Oregon provides several options for resolving lemon law disputes.
BBB AUTO LINE
The BBB AUTO LINE program is one of the largest and longest-running dispute resolution programs in the United States. According to the Oregon DOJ, BBB AUTO LINE resolves consumer vehicle warranty complaints through mediation and, if necessary, arbitration hearings. The program provides a fast, fair, and free way to resolve disputes when consumers cannot resolve warranty concerns directly with the dealer or manufacturer.
Manufacturer Programs
Some manufacturers have their own dispute resolution programs that may be required before litigation.
Court Action
If alternative dispute resolution fails, consumers may file a lawsuit in Oregon courts. Prevailing consumers may recover attorney fees and costs.
Statute of Limitations
Understanding deadlines is essential for Oregon lemon law claims.
Key Deadlines
- Coverage period: 2 years or 24,000 miles from purchase, whichever comes first
- Report defects: Problems should be reported promptly during the coverage period
- Lawsuit filing: Generally within the applicable contract statute of limitations
Important: Oregon does not have a 3-day right to cancel vehicle purchases. You cannot return a vehicle simply because you changed your mind unless that right is specifically written into your contract.
Frequently Asked Questions
How many repair attempts are required under Oregon’s Lemon Law?
Oregon requires 3 or more repair attempts for the same defect. For safety-related defects likely to cause injury or death, only 1 repair attempt is required. Alternatively, if the vehicle has been out of service for 30 or more cumulative calendar days (60 days for motorhomes), it may qualify as a lemon.
Does Oregon have a 3-day right to cancel a vehicle purchase?
No, Oregon does not have a general 3-day right to cancel vehicle purchases. Unless a cancellation right is specifically written into your sales contract, you cannot return a vehicle without a legal reason such as a defect covered by the Lemon Law.
Does Oregon’s Lemon Law cover leased vehicles?
Yes, new vehicles leased in Oregon for personal, family, or household purposes are covered under the Lemon Law.
What is the coverage period under Oregon’s Lemon Law?
Oregon’s Lemon Law provides protection for 2 years or 24,000 miles from the date of purchase or lease, whichever comes first.
Can I recover attorney fees under Oregon’s Lemon Law?
Yes, if you prevail in a lemon law case, you may be entitled to recover reasonable attorney fees and costs.
Are motorhomes covered under Oregon’s Lemon Law?
Yes, motorhomes are covered, but with an extended out-of-service requirement of 60 cumulative calendar days (instead of 30 days for regular vehicles).
Resources and Legal Help
Official Resources
- ORS 646A.400-418 (Full Text)
- Oregon DOJ: Lemon Law Information
- Oregon State Bar Lawyer Referral Service
- BBB AUTO LINE