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Mississippi · Article Updated May 26, 2026

Replacement Vehicle Under Mississippi Lemon Law

How the § 63-17-159 replacement remedy works — comparable replacement vehicle, transfer of collateral charges, warranty restart, and when the consumer would elect it over a refund.

Under Miss. Code § 63-17-159, replacement is the alternative to a refund. The statute directs the manufacturer to “give the consumer the option” of a comparable replacement vehicle or a refund — so in Mississippi the consumer chooses, like Arkansas (§ 4-90-406(b)(2)(A)) and the CA / TX / FL / NY consumer-choice states, and unlike genuine manufacturer-option states such as Oklahoma and South Carolina.

What “comparable” means

Replacement must be substantially comparable to the original:

  • Same make, model, and model year (or current model year if original discontinued).
  • Same trim level and major options.
  • Same drivetrain configuration.
  • Reasonably similar mileage — typically a new vehicle from current inventory.
  • Color may differ — courts don’t strictly enforce color matching.

What transfers

  • Sales tax and registration — Mississippi-specific tax credit and registration transfer.
  • Finance arrangement — lender’s lien transfers; loan terms may need updating.
  • Lease terms — for leased originals, lease typically continues on replacement with appropriate residual adjustment.
  • Manufacturer warranty restarts at date of replacement delivery — fresh full warranty period.

When the manufacturer pushes for replacement

Because the consumer holds the § 63-17-159 election, a manufacturer can only encourage replacement — but it often does, because:

  • Customer retention — consumer drives away in a new car of the same brand.
  • No buyback disposal hassle.
  • PR / regulatory visibility — replacement less visible than buyback in NHTSA / DMV databases.

When consumers prefer replacement

  • Warranty reset is valuable.
  • No need to shop for a different vehicle.
  • Comparable trim preserved.
  • Tax / registration friction avoided.

When refund is better

  • Cash flexibility to buy a different brand or used vehicle.
  • Newer redesigned model years make original less attractive.
  • Defect category is a platform-wide issue — replacement just inherits the same risk (Honda 1.5T oil dilution, Hyundai/Kia Theta II, Tesla MCU eMMC, Nissan CVT).

Replacement vehicle quality assurance

If the replacement also turns out to have a substantial defect:

  • The consumer can pursue a second Lemon Law claim on the replacement.
  • The § 63-17-159(d) 18-month SOL restarts on the replacement’s defect (from new delivery date).
  • Magnuson-Moss / UCC framework continues to apply.

Bottom line

Replacement is an alternative the consumer can elect under § 63-17-159 — the statute gives the consumer the option, so no manufacturer can force it. Optimal when the original trim was unusual, the warranty reset is valuable, or refund administration would be burdensome. Refund is generally preferable when the defect category is a platform-wide issue — and the consumer is entitled to choose it.

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