TN · Consumer Rights

Consumer Rights in Tennessee

By CanISueForThis Editorial Team Reviewed by Editorial Team Updated March 21, 2026

Key Tennessee Law

Tennessee Code Annotated Section 55-24-101 et seq. (Motor Vehicle Warranty Enforcement Act)

Tennessee's lemon law covers new motor vehicles and requires manufacturers to replace or refund defective vehicles when covered defects cannot be repaired within a reasonable number of attempts during the warranty period.

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Procedural Details in Tennessee

Tennessee's lemon law (T.C.A. Section 55-24-101 et seq.) covers new motor vehicles and applies when the same defect cannot be repaired after four repair attempts, or the vehicle is out of service for 30 or more cumulative days — within one year or 12,000 miles of original delivery. Tennessee requires informal dispute resolution through the manufacturer's program before filing a lawsuit if one exists. Tennessee's Consumer Protection Act (T.C.A. Section 47-18-101 et seq.) allows private actions with actual damages and attorney fees; courts may award up to three times actual damages for willful violations. Insurance bad faith in Tennessee is addressed through T.C.A. Section 56-7-105, which allows a 25% "bad faith penalty" on the insurance policy amount plus attorney fees when an insurer wrongfully refuses to pay a valid claim. The statute of limitations for consumer protection claims is one year. The Tennessee Department of Commerce and Insurance handles insurer complaints.

Tennessee Agencies & Resources

Tennessee Attorney General — Consumer Protection Division

Enforces Tennessee's Consumer Protection Act and investigates deceptive business practices in Tennessee.

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Tennessee Department of Commerce and Insurance

Regulates insurers and handles consumer complaints about bad faith claim handling in Tennessee.

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Tennessee Bar Association — Find a Lawyer

Connects Tennessee consumers with attorneys for lemon law and consumer protection matters.

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Frequently Asked Questions

What triggers Tennessee's lemon law?

Four repair attempts for the same defect, or 30 cumulative days out of service, within one year or 12,000 miles may trigger Tennessee's lemon law. Informal dispute resolution through the manufacturer's program must be used before filing a lawsuit. Keep all written repair records with dates.

What is Tennessee's 25% insurance bad faith penalty?

Under T.C.A. Section 56-7-105, if an insurer wrongfully refuses to pay a valid policy claim, a court may award 25% of the amount due plus reasonable attorney fees. This statutory penalty is in addition to the original claim amount and is designed to deter unreasonable claim denials by Tennessee insurers.

What is the statute of limitations for Tennessee consumer protection claims?

Tennessee's Consumer Protection Act has a one-year statute of limitations — one of the shortest in the country. This makes it essential to consult an attorney immediately upon discovering any consumer fraud or deceptive business practice in Tennessee.

Are treble damages available for consumer fraud in Tennessee?

Yes. Tennessee's Consumer Protection Act allows courts to award up to three times actual damages for willful violations, plus attorney fees. Despite the short one-year SOL, the treble damages provision provides meaningful remedies for intentional consumer fraud.

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By CanISueForThis Editorial Team Reviewed by Editorial Team Updated March 21, 2026