Lemon Law for Business, Rideshare (Uber and Lyft) and Work Vehicles in California

Yes, California’s lemon law can cover business, rideshare and work vehicles. A car you use for Uber or Lyft but mainly drive for personal reasons is treated like any other personal vehicle. A vehicle bought or used mainly for business is also covered if its gross vehicle weight rating is under 10,000 pounds and the owner, whether a person or a company, has no more than five motor vehicles registered in California (Civil Code section 1793.22(e)(2)). The vehicle still needs a warranty defect the manufacturer could not fix after a reasonable number of attempts.

What the statute says

The repurchase and replacement rules in Civil Code section 1793.2(d)(2) apply to a “new motor vehicle” as defined in section 1793.22(e)(2). That definition has two parts:

• Personal use. A new motor vehicle bought or used primarily for personal, family or household purposes.
• Business use. A new motor vehicle with a gross vehicle weight under 10,000 pounds that is bought or used primarily for business purposes by a person, including a partnership, limited liability company, corporation, association or any other legal entity, to which not more than five motor vehicles are registered in California.

The definition also covers the chassis, chassis cab and propulsion portion of a motor home, but not the living area. Motorcycles and off-highway vehicles not registered under the Vehicle Code are excluded.

Rideshare drivers (Uber, Lyft and delivery apps)

Many rideshare and delivery drivers use the same car for work and for family life. If you bought the car mainly for personal use and drive for an app part time, the car generally fits the personal-use part of the definition. If you bought the car mainly to drive for an app, it fits the business-use part, as long as it is under 10,000 pounds gross vehicle weight and you have five or fewer vehicles registered in California. Most sedans, SUVs and minivans used for rideshare fall well under that weight rating.

Rideshare driving raises a few practical issues:

• Miles add up fast. The presumption in Civil Code section 1793.22(b) applies to problems within 18 months of delivery or 18,000 miles, whichever comes first. High-mileage drivers can pass 18,000 miles quickly. You can still have a claim after that point, but the presumption may not help.
• The mileage offset grows. A refund can be reduced by the miles you drove before your first repair visit for the problem, divided by 120,000 and multiplied by the price paid (Civil Code section 1793.2(d)(2)(C)). Report problems right away. In our experience, the offset is measured from the first visit where you reported the problem, even if the dealer could not verify it then, once the defect is later confirmed.
• Lost income. When your car is in the shop, you may not be able to work. Keep records of days you could not drive and any rental you paid for. Whether lost earnings can be recovered depends on the facts, so ask your lawyer.
• Check your warranty. Some manufacturer warranties have different terms for commercial or livery use. Read the warranty booklet for the vehicle you bought.
• Rented rideshare cars are different. If you drive a car you rent through a rideshare program, you are not the buyer, so you generally would not have a lemon law claim on that car.

Small businesses and work vehicles

Contractors, real estate agents, sales reps, landscapers and small companies often buy pickups, vans and SUVs for work. These vehicles can qualify under the business-use definition if both conditions are met.

The 10,000-pound limit

The test is gross vehicle weight, which is the maximum loaded weight the manufacturer rates the vehicle for, not how much it weighs empty. You can usually find the gross vehicle weight rating (GVWR) on a sticker inside the driver’s door jamb. Most light-duty pickups and vans are under 10,000 pounds. Some heavy-duty trucks and large vans are rated higher. Check the sticker before assuming either way.

The five-vehicle limit

The statute looks at how many motor vehicles are registered in California to the person or entity that bought or uses the vehicle. If your company has five or fewer vehicles registered in the state, the vehicle can qualify. If it has more, these lemon law protections generally do not apply to the business-use vehicle, though other warranty rights may still exist. Pull a list of your registrations before you call a lawyer.

Who brings the claim

If the vehicle is titled in the name of your LLC or corporation, the business is usually the buyer and would bring the claim. If you bought it personally and use it for your business, you are the buyer. Have your purchase contract and registration ready.

Two quick examples

These are hypothetical illustrations, not predictions. A plumber with one pickup and one van registered to his LLC buys a new light-duty pickup for jobs, and the transmission keeps slipping. The truck is under 10,000 pounds GVWR and the company has three vehicles registered, so the business-use rule can apply. A delivery company with eight vans registered in California buys a ninth with the same problem. Because it has more than five vehicles registered, the lemon law’s business-use definition generally would not cover that van, and the company would need to look at its other warranty rights.

What still has to be true

Business and rideshare vehicles must meet the same core tests as any other lemon:

1. The vehicle has a defect covered by the manufacturer’s warranty.
2. The defect is a nonconformity, meaning it substantially impairs the use, value or safety of the vehicle (Civil Code section 1793.22(e)(1)). See what is a nonconformity.
3. The manufacturer or its dealers had a reasonable number of chances to fix it and did not.

Used vehicles are more limited after Rodriguez v. FCA US LLC (2024). See certified pre-owned cars after Rodriguez. For leased work vehicles, read lemon law for leased cars.

Steps for business and rideshare owners

1. Check the GVWR sticker and count your California registrations.
2. Report every problem promptly and get a repair order each time.
3. Keep a log of days out of service and trips you could not take.
4. Save rental, towing and repair receipts.
5. Check for recalls with our VIN recall check.
6. Estimate your refund with the California lemon law calculator.
7. Talk to a lawyer before trading in or selling the vehicle. See selling during a claim.

Electric vehicles are popular with rideshare drivers. If yours is an EV, read electric vehicle lemon law in California.

Local help

We are based in Westwood and represent owners and small businesses across California. If you drive in Southern California, a Los Angeles lemon law attorney can review your vehicle by phone so you do not lose a day of work.

Talk to a California lemon law attorney

If your vehicle is still under warranty and the problem keeps coming back, call 877-536-6620 for a free case review with a California lemon law attorney. You pay nothing, win or lose. We are paid only if you win, and the manufacturer pays our fees, including in settlements. If a case is lost, our firm covers the costs. We handle cases in English and Spanish.

Frequently Asked Questions

Does California lemon law cover Uber and Lyft cars?

Yes, if the car qualifies. A car bought mainly for personal use and driven for rideshare part time is treated as a personal vehicle, and a car bought mainly for rideshare can qualify under the business-use rule.

What business vehicles are covered by California lemon law?

New vehicles with a gross vehicle weight under 10,000 pounds bought or used primarily for business by a person or entity with no more than five motor vehicles registered in California.

Where do I find my vehicle's gross vehicle weight rating?

The GVWR is usually printed on a sticker inside the driver's door jamb. It is the maximum loaded weight, not the empty weight.

Can my LLC or corporation file a lemon law claim?

Yes. The statute covers business buyers including partnerships, LLCs, corporations and other legal entities, as long as the weight and five-vehicle limits are met.

Does high mileage hurt a rideshare lemon law claim?

It can affect the 18,000-mile presumption and increase the mileage offset, so report problems as early as possible and keep every repair order.

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