Tesla leads the industry in technology, but its vehicles are not immune to defects — and California’s lemon law protects Tesla owners just as fully as owners of any other brand. If your 2024, 2025, or 2026 Tesla keeps coming back from the service center with the same unresolved problem, here are the defects owners report most, and what they mean for a potential lemon law claim.
Quick answer: The Tesla defects most commonly reported to NHTSA and to lemon law attorneys include phantom braking, Autopilot and Full Self-Driving malfunctions, touchscreen failures, battery range and charging problems, steering and suspension issues, and build-quality flaws. If any of these substantially impairs your Tesla’s use, value, or safety and Tesla can’t fix it after a reasonable number of attempts, your vehicle may qualify as a lemon.
Does California lemon law cover Tesla?
Yes. California’s lemon law — the Song-Beverly Consumer Warranty Act — treats Tesla exactly like any other automaker, even though Tesla sells directly to consumers instead of through franchised dealerships. As long as your Tesla is covered by the manufacturer’s warranty (the basic warranty runs 4 years or 50,000 miles, whichever comes first) and has a substantial defect Tesla can’t repair, you may be entitled to a refund or replacement. The starting point is confirming your Tesla qualifies under the lemon law.
The most commonly reported Tesla defects (2024–2026)
Based on complaints filed with the National Highway Traffic Safety Administration (NHTSA) and patterns lemon law attorneys see most often, these are the issues driving the majority of recent Tesla claims:
- Phantom braking. The vehicle brakes suddenly for no real obstacle, sometimes at highway speed — one of the most dangerous reported issues because of the rear-end collision risk.
- Autopilot & Full Self-Driving (FSD) malfunctions. Owners report the driver-assist systems disengaging unexpectedly, misreading lanes, or failing to detect obstacles.
- Touchscreen failures. Freezing, blackouts, or full crashes of the center screen — which controls climate, navigation, and the backup camera — can disable core functions of the car.
- Battery range & charging problems. Significant range shortfalls versus the advertised estimate, charging failures, or inconsistent charging.
- Steering & suspension issues. Clunking, premature wear, or steering faults. In February 2025, NHTSA recall 25V092 covered roughly 376,000 Model 3 and Model Y vehicles for an electronic power-assisted steering firmware issue, addressed through an over-the-air update.
- Build-quality flaws. Panel gaps, paint and trim defects, and water leaks that, left unresolved, can affect durability and value.
For balance: many Tesla recalls in 2024 were resolved through software rather than dealership repairs, and Consumer Reports now rates the Model Y among the most reliable EVs on the market. But a single vehicle can still be a lemon even when the model as a whole performs well — what matters is whether your car’s defect was fixed.
The over-the-air update wrinkle
Tesla resolves many issues with over-the-air (OTA) software updates rather than a visit to a service center. That’s convenient, but it creates a documentation challenge for lemon law claims: an update can be pushed without a paper repair order, and the underlying problem may persist even after the “fix.” If you experience a recurring defect, keep records of every update, service visit, and recurrence — note whether the problem actually stopped. That history is what proves a defect was never truly repaired.
When a Tesla defect becomes a “lemon”
A defect rises to a lemon law claim when it substantially impairs the vehicle’s use, value, or safety, the car is under the manufacturer’s warranty, and Tesla has had a reasonable number of attempts to fix it without success. You’ll want every service record, repair order, and communication with Tesla, plus the mileage and dates of each visit. See how the lemon law process works for the full sequence, and remember the same protections apply to any electric vehicle.
Watch the arbitration clause — and the 30-day opt-out
Tesla’s purchase agreement includes a mandatory arbitration clause that can limit your right to a jury trial. Tesla generally offers a 30-day window from the purchase date to opt out. If you want to preserve the option of going to court, send a written opt-out notice by certified mail within that window and keep proof of delivery. It costs nothing and can give you significantly more leverage in a claim.
What you can recover
If your Tesla qualifies, the manufacturer may have to repurchase it — refunding what you paid (price, taxes, fees, and finance payments) minus a mileage offset for the miles before your first repair visit — or provide a replacement. You may also recover incidental costs like towing and rental, and, where the manufacturer’s conduct was willful, a civil penalty of up to two times your damages. Our California lemon law buyback guide explains how the refund is calculated, and you can see representative outcomes on our case results page. Because California shifts attorney’s fees onto the manufacturer when you win, this costs you nothing out of pocket.
A note for used and CPO Tesla buyers
Following a 2024 California Supreme Court decision, a used vehicle that still carries a portion of the original manufacturer’s warranty is generally not eligible for lemon law remedies unless it was sold as a Certified Pre-Owned vehicle with a new warranty issued at the time of sale. If you bought a used Tesla, this distinction matters — an attorney can tell you quickly whether your purchase is covered.
Think your Tesla is a lemon?
American Lemon Law Group has recovered millions for vehicle owners and will review your Tesla’s repair history at no cost. You can also look up open recalls on your VIN through NHTSA’s recall lookup. Call (877) 311-1133 or request a free case evaluation.
This article is for general informational purposes only and is not legal advice. Defect descriptions reflect complaints reported to NHTSA and to attorneys, not a finding about any specific vehicle. Every case is different and outcomes depend on its facts. Consult a qualified California lemon law attorney about your situation.