Independent Repairs Do Not Void Express Warranties

Oct 12, 2018

It’s inevitable. We buy a product that breaks or stops working right and needs to be repaired. If the product is inexpensive, it’s probably cheaper to throw it out and buy a new one. But that’s not the case when it comes to expensive items like cars, appliances and electronic devices. Fortunately, most expensive products come with written or express warranties that describe what repairs are covered, for how long and under what conditions.

An express warranty is a promise or statement made by a manufacturer about a product and its commitment to fix and repair the product when it’s defective or it malfunctions. Express warranties are governed by a federal law – the Magnuson-Moss Warrant Act. The Act does not require manufacturers to give express warranties on the products they sell. But if a manufacturer does offer an express warranty, it must comply with the law’s requirements.

One important provision of the Magnuson-Moss Act prohibits manufacturers from voiding express warranties if a consumer tries to repair the product themselves or has the repair work done by an independent repair shop. Another provision  generally prohibits manufacturers from claiming they will void express warranties unless consumers use certain specified replacement parts or certain service providers (an exception applies if the replacement parts are free or the manufacturer obtains a waiver from the Federal Trade Commission). Statements made by manufacturers that don’t comply with the Act may be deceptive and therefore violate our consumer protection law.

The Magnuson-Moss Warranty Act has been around since 1975 and it should not be hard for companies to comply with its requirements. The FTC  publishes guidance to help businesses avoid violating the law’s provisions. The FTC also issues warning letters to companies from time to time when it finds suspected violations. For example, this past April the FTC sent warning letters to Hyundai, Microsoft, Sony and Nintendo.

Despite the FTC’s guidance and oversight, the consumer advocacy group, US PIRG, found that an astonishingly high number of companies are nevertheless violating the Magnuson-Moss Warranty Act.  PIRG conducted a survey 50 companies and found that   45 “had clauses in warranties which claimed that independent repair would void coverage, or their warranties were unclear and their customer service representatives stated that independent repair would void the warranty.” Do the math – PIRG found that 90% (90%!) of the surveyed companies were engaging in illegal activity.

The companies surveyed by PIRG weren’t exactly fly-by-night operations. The violators included well-known companies like Bisell, Breville, Dyson, Keurig, LG Electronics, Panasonic, Shark/Ninja, Sharp, Stanley Black and Decker, and Whirlpool.

The PIRG surveys shows that manufacturers routinely engage in illegal activity by claiming they will void warranties when they have no right to do so. If you’ve had problems with a manufacturer that refuses to honor an express warranty, please contact me. I can review your situation and see whether you have any recourse. There’s no charge for an initial consultation.

 

 

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