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Hyundai & Kia Lemon Law California: What You’re Owed

Hyundai & Kia Lemon Law California: Engine Defects and What You’re Owed

If your Hyundai or Kia has been burning through repair visits for the same engine problem, you’re not dealing with bad luck. You’re dealing with a documented, widespread defect, and Hyundai lemon law California gives you real leverage to fight back. Thousands of drivers in exactly your situation have recovered full buybacks, replacement vehicles, and cash settlements — without paying a cent in legal fees.

Hyundai and Kia have faced more engine-related recalls than almost any other automaker in the last decade. Millions of vehicles equipped with defective engines have caught fire, seized on the highway, or simply refused to run. If that sounds familiar, Hyundai lemon law California rights may entitle you to a full buyback, a replacement vehicle, or a cash settlement. The manufacturer pays the legal fees, not you. This guide explains exactly how Kia & Hyundai lemon law works, what you’re owed, and how to build a case that wins.

Here’s what you need to know.

The Engine Problem Is Real and Documented

Starting around 2011 and running through 2019 model years, Hyundai and Kia equipped millions of vehicles with Theta II GDI and MPI engines that had a critical manufacturing flaw. Metal debris from the production process could restrict oil flow to the connecting rod bearings, causing those bearings to wear prematurely. The result: engine seizure, stalling at highway speeds, and in thousands of cases, engine fires.

The affected vehicles span a wide range of popular models, including:

  • Hyundai Sonata, Santa Fe, Santa Fe Sport, and Tucson
  • Kia Optima, Sorento, Soul, Sportage, and Rio

A $1.3 billion class action settlement was reached in 2021, and an additional settlement covering Theta II MPI, Gamma GDI, and Nu GDI engines received final approval in April 2024. Both settlements extended warranties and provided reimbursements. But class action benefits are often far less than what individual consumers can recover through a Kia and Hyundai lemon law California claim.

The Theta II defect is not the only concern. Kia issued a “Park Outside” recall in 2024 covering approximately 440,000 Telluride SUVs due to potential ABS module fires. Hyundai issued recalls covering more than 570,000 vehicles in 2023 for tow hitch harness fire risks. And problems with Hyundai and Kia’s dual-clutch transmissions, known for shuddering, jerking, and hesitation, have led to successful Kia lemon law engine defect buyback claims as well.

If your vehicle is on a recall list, that is not the end of the road. It may actually be the starting point for your Hyundai lemon law California case.

What California Law Requires Hyundai and Kia to Do

California’s Song-Beverly Consumer Warranty Act is the foundation of every Kia and Hyundai lemon law California claim. The core rule lives in Cal. Civ. Code § 1793.2(d): if a manufacturer cannot repair a defect that substantially impairs the use, value, or safety of your vehicle after a reasonable number of attempts, it must either replace the vehicle or refund your money.

“Substantially impairs” is the key phrase. Engine seizure? That qualifies. Stalling on the freeway? That qualifies. Chronic oil leaks that come back no matter how many times the dealer patches them? That qualifies — and a landmark California case makes that point directly.

In Oregel v. American Isuzu Motors, Inc. (2001), a California Court of Appeal upheld a jury verdict against a manufacturer that refused to repurchase a vehicle with a chronic, unresolvable oil leak. The court affirmed something critical: the consumer’s only obligation under Song-Beverly is to give the manufacturer a reasonable opportunity to fix the problem. If the manufacturer cannot fix it, the consumer does not have to prove why. They only need to show the defect remains. The jury also found that Isuzu’s refusal to repurchase was willful, which triggered a civil penalty equal to the full damage award, effectively doubling the payout. Under Cal. Civ. Code § 1794(c), that same civil penalty is available today when Hyundai or Kia knowingly delays acting on a known defect.

That matters for Hyundai and Kia owners specifically. Both automakers were aware of the Theta II problem long before most recalls were issued. If your engine failed and the dealer could not fix it, and the manufacturer still declined to buy the car back, you may have grounds for a willful violation claim on top of your standard lemon law California repurchase remedy.

How a Hyundai or Kia Lemon Law Buyback Works

Under Hyundai lemon law California, a buyback is straightforward in theory. If your vehicle qualifies, Hyundai or Kia must refund what you paid, including your down payment, monthly payments, taxes, and fees. The only deduction is a mileage offset: a reduction based on how far you drove the car before the first repair attempt for the defect.

To qualify, your vehicle generally needs to meet one of these thresholds:

  • Two or more repair attempts for a defect that could cause death or serious injury (engine fires and sudden stalling typically fall here)
  • Four or more repair attempts for any other substantial defect that has not been fixed
  • 30 or more calendar days out of service for repairs, whether consecutive or cumulative

Your vehicle also needs to be within its warranty period when the defect is first reported. If the defect showed up during the warranty and the car is still in the shop, the expiration of the warranty does not wipe out your Kia or Hyundai lemon law California rights.

For a Kia lemon law engine defect buyback, the same rules apply. Kia’s Theta II engines, ABS module issues, and DCT problems have all resulted in successful claims under Song-Beverly. The process is the same — what matters is the repair record.

One thing we see constantly: manufacturers try to blame the defect on driver misuse or lack of maintenance. Do not accept that without pushback. Under Oregel, you do not have to prove what is wrong with the car. You only need to show it keeps breaking. Documentation is everything.

What to Document Right Now

If you think you have a Hyundai lemon law California case, start building your record today. Every document you gather is money in your pocket.

  1. Keep every repair order. Every time the car goes into the shop, get a written repair order with the date, mileage, complaint description, and what the dealer did or failed to do.
  2. Log your out-of-service days. Note the exact dates your vehicle was with the dealer. Every day counts toward the 30-day threshold.
  3. Put complaints in writing. If you report a problem verbally, follow up with an email to the service advisor confirming what you said and when.
  4. Do not accept vague repair descriptions. “Inspected and found no issue” on a repair order is not the same as “repaired.” Challenge it.
  5. Check the NHTSA complaint database for your vehicle. Seeing hundreds of identical complaints from other owners strengthens your case and supports the argument that the defect is a known manufacturing problem, not something you caused.

If your car has been stuck in a loop of the same failed repairs, read our guide on what to do when the dealership won’t fix your car, including how to escalate directly to the manufacturer and document the pattern properly.

Why the Manufacturer Pays Our Fees

Here’s what stops most people from pursuing a lemon law claim: they assume they cannot afford a lawyer.

You can. Under Song-Beverly, if you prevail, Hyundai or Kia pays your attorney’s fees. We work on this basis. You pay nothing out of pocket. The manufacturer covers it.

We recovered $38,110 for a 2021 Hyundai Sonata owner. We recovered $58,000 for a Korean manufacturer infotainment defect. Hyundai and Kia have legal teams whose job is to minimize what they pay you. Our job is to make sure that does not happen.

Not sure whether your vehicle qualifies? Check if your car is a lemon using our two-minute qualifier. We will tell you where you stand.

Do Not Sit on This

California’s lemon law has deadlines. Under AB 1755, which phased in starting in 2025, you have one year after your final warranty expires to file, or six years from the date of delivery, whichever comes first. That sounds like a long time. But every repair attempt you delay is one the manufacturer will use to argue the problem was not serious enough to act on quickly.

If your Hyundai or Kia engine has failed, stalled, or caught fire, and the dealer has tried and failed to fix it, you do not have to wait for another recall notice or a class action postcard. As a Hyundai lemon law California claim, your case may be worth far more than any class settlement offers.

You should not be on the hook for a vehicle that does not work. The manufacturer should be. Start your free case review. We do not like bullies. We took it personal.