Tennessee Lemon Law Buyback Calculator

A Tennessee lemon law buyback centers on the vehicle's purchase price, reduced only by a mileage offset for pre-defect use. That offset is generally figured as (miles at first repair attempt ÷ 120,000) × purchase price. For a $40,000 truck with 9,000 miles when the defect first appeared, the offset is about $3,000, leaving roughly $37,000 in refundable purchase price before incidental damages such as sales tax, license fees, and finance charges are added back.

Tennessee recognizes a "lemon presumption" that shifts the burden to the manufacturer once your repair history crosses set thresholds. If the dealer cannot fix the same substantial, warranty-covered defect after 3 repair attempts, or if the vehicle is out of service for a cumulative 30 days, the vehicle is presumed to be a lemon.

Tennessee's state lemon law generally covers new vehicles purchased with a manufacturer's warranty. If your vehicle is used or falls outside the state statute, you may still have a claim under the federal Magnuson-Moss Warranty Act, which applies to written warranties nationwide.

The Tennessee Attorney General's summary of the Lemon Law (Tennessee Code sections 55-24-101 to 112) states that a lawsuit must be brought within 6 months of one year from the date of original delivery or of the expiration of the express warranty, whichever is later, so the deadline depends on the length of your manufacturer's warranty. A licensed attorney can confirm which deadline applies to your vehicle. When a vehicle qualifies, Tennessee requires the manufacturer to repurchase or replace it rather than keep attempting repairs.