Kind of looks like the tree has a case of aphids also, which is helping to attract the lady bugs. Just doesn't look good. My first thought when I saw the leaves was severe root rot, you might even be able to lift the tree out of the soil--doubt there are many roots left. Might be better to get rid of the tree--looks like a goner anyway, eliminate the scale and aphids from all the plants around the area, then get another tree.

since its a seedling, it could be a hybrid tree, won't know for sure till it fruits. how sure are you that the seed came from a lemon? if it was a store bought lemon, probably a Lisbon or Lisbon-cross with all those thorns. This post was edited by houstontexas123 on Tue, Mar 26, 13 at 19:41

It would help to see a picture of the entire plant or, at the least, a description of the entire plant. The 6th (I think) image -- darkish leaves -- may be a flowering crabapple. And consider posting in the Name that Plant Forum http://forums2.gardenweb.com/forums/namegal/ Here is a link that might be useful: images

Yes, but most citrus grow true-to-type from seed due to Nucellar embryony... certainly most oranges and grapefruit. Exceptions are Meyer lemon, 'Temple' oranges, Clementines, Persian lime, most pummelos, I think. Tangors and Tangelos put off a high % of nucellar seedlings. According to my notes where I keep my citrus information, I had this filed away. This is a quote from Dr. Malcolm Manners, professor of Citrus Science at Florida Southern College: 'Nearly all of the sweet oranges (C. sinensis) come true-to type from seed. A few (some navels, 'Pineapple') make minor variations in their seedlings, even though they are technically nucellar. Nearly all grapefruit also come true-to-type. The only exception I can think of is 'Thompson Pink' which produces 'Marsh Seedless' seedlings, since it is a periclinal chimera, and the mutant tissue is not in the layer that makes the seeds. The vast majority of mandarin types are also nucellar, and therefore, come true-to-type. Also, nearly all lemons, 'Key' Lime, and most other sour-fruited types come true. Persian limes do not. Meyer is monoembryonic, so does not come true-to-type from seed. Actually, the list of citrus that don't come true is quite small.'