MAGNUSON MOSS WARRANTY ACT
US Code -
Title 15, Chapter 50, Sections 2301-2312
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Legally, a vehicle manufacturer
cannot void the warranty on a vehicle due to an aftermarket part unless
they can prove that the aftermarket part caused or contributed to the
failure in the vehicle (per the Magnuson Moss
Warranty Act (15 U.S.C. 2302(C)).
If your vehicle manufacturer fails to honor
emission/warranty claims, contact EPA at (202) 260-2080 or www.epa.gov. If federal
warranty protection is denied, contact the FTC at (202) 326-3128 or www.ftc.gov.
Section
2301. Definitions
(1)
The term "consumer product" means any tangible personal property which
is distributed in commerce and which is normally used for personal,
family, or household purposes (including any such property intended to
be attached to or installed in any real property without regard to
whether it is so attached or installed).
(2)
The term "Commission" means the Federal Trade Commission.
(3)
The term "consumer" means a buyer (other than for purposes of resale)
of any consumer product, any person to whom such product is transferred
during the duration of an implied or written warranty (or service
contract) applicable to the product, and any other person who is
entitled by the terms of such warranty (or service contract) or under
applicable State law to enforce against the warrantor (or service
contractor) the obligations of the warranty (or service contract).
(4)
The term "supplier" means any person engaged in the business of making
a consumer product directly or indirectly available to consumers.
(5)
The term "warrantor" means any supplier or other person who gives or
offers to give a written warranty or who is or may be obligated under
an implied warranty.
(6)
The term "written warranty" means -
(A)
any written affirmation of fact or written promise made in connection
with the sale of a consumer product by a supplier to a buyer which
relates to the nature of the material or workmanship and affirms or
promises that such material or workmanship is defect free or will meet
a specified level of performance over a specified period of time, or
(B)
any undertaking in writing in connection with the sale by a supplier of
a consumer product to refund, repair, replace, or take other remedial
action with respect to such product in the event that such product
fails to meet the specifications set forth in the undertaking, which
written affirmation, promise, or undertaking becomes part of the basis
of the bargain between a supplier and a buyer for purposes other than
resale of such product.
(7)
The term "implied warranty" means an implied warranty arising under
State law (as modified by sections 2308 and 2304(a) of this title) in
connection with the sale by a supplier of a consumer product.
(8)
The term "service contract" means a contract in writing to perform,
over a fixed period of time or for a specified duration, services
relating to the maintenance or repair (or both) of a consumer product.
(9)
The term "reasonable and necessary maintenance" consists of those
operations
(A)
which the consumer reasonably can be expected to perform or have
performed and
(B)
which are necessary to keep any consumer product performing its
intended function and operating at a reasonable level of performance.
(10)
The term "remedy" means whichever of the following actions the
warrantor elects:
(A)
repair,
(B)
replacement, or
(C)
refund;
except
that the warrantor may not elect refund unless (i) the warrantor is
unable to provide replacement and repair is not commercially
practicable or cannot be timely made, or (ii) the consumer is willing
to accept such refund.
(11)
The term ''replacement'' means furnishing a new consumer product which
is identical or reasonably equivalent to the warranted consumer
product.
(12)
The term "refund" means refunding the actual purchase price (less
reasonable depreciation based on actual use where permitted by rules of
the Commission).
(13)
The term "distributed in commerce" means sold in commerce, introduced
or delivered for introduction into commerce, or held for sale or
distribution after introduction into commerce.
(14)
The term "commerce" means trade, traffic, commerce, or transportation -
(A)
between a place in a State and any place outside thereof,
or
(B) which affects trade, traffic, commerce, or transportation described
in subparagraph (A).
(15)
The term "State" means a State, the District of Columbia, the
Commonwealth of Puerto Rico, the Virgin Islands, Guam, the Canal Zone,
or American Samoa. The term "State law" includes a law of the United
States applicable only to the District of Columbia or only to a
territory or possession of the United States; and the term "Federal
law'" excludes any State law.
Section
2302. Rules governing contents of warranties
(a)
Full and conspicuous disclosure of terms and conditions; additional
requirements for contents In order to improve the adequacy of
information available to consumers, prevent deception, and improve
competition in the marketing of consumer products, any warrantor
warranting a consumer product to a consumer by means of a written
warranty shall, to the extent required by rules of the Commission,
fully and conspicuously disclose in simple and readily understood
language the terms and conditions of such warranty. Such rules may
require inclusion in the written warranty of any of the following items
among others:
(1)
The clear identification of the names and addresses of the warrantors.
(2)
The identity of the party or parties to whom the warranty is extended.
(3)
The products or parts covered.
(4)
A statement of what the warrantor will do in the event of a defect,
malfunction, or failure to conform with such written warranty - at
whose expense - and for what period of time.
(5)
A statement of what the consumer must do and expenses he must bear.
(6)
Exceptions and exclusions from the terms of the warranty.
(7)
The step-by-step procedure which the consumer should take in order to
obtain performance of any obligation under the warranty, including the
identification of any person or class of persons authorized to perform
the obligations set forth in the warranty.
(8)
Information respecting the availability of any informal dispute
settlement procedure offered by the warrantor and a recital, where the
warranty so provides, that the purchaser may be required to resort to
such procedure before pursuing any legal remedies in the courts.
(9)
A brief, general description of the legal remedies available to the
consumer.
(10)
The time at which the warrantor will perform any obligations under the
warranty.
(11)
The period of time within which, after notice of a defect, malfunction,
or failure to conform with the warranty, the warrantor will perform any
obligations under the warranty.
(12)
The characteristics or properties of the products, or parts thereof,
that are not covered by the warranty.
(13)
The elements of the warranty in words or phrases which would not
mislead a reasonable, average consumer as to the nature or scope of the
warranty.
(b)
Availability of terms to consumer; manner and form for presentation and
display of information; duration; extension of period for written
warranty or service contract
(1)
(A) The Commission shall prescribe rules requiring that the
terms of any written warranty on a consumer product be made available
to the consumer (or prospective consumer) prior to the sale of the
product to him.
(B) The Commission may prescribe rules for determining the
manner and form in which information with respect to any written
warranty of a consumer product shall be clearly and conspicuously
presented or displayed so as not to mislead the reasonable, average
consumer, when such information is contained in advertising, labeling,
point-of-sale material, or other representations in writing.
(2)
Nothing in this chapter (other than paragraph (3) of this subsection)
shall be deemed to authorize the Commission to prescribe the duration
of written warranties given or to require that a consumer product or
any of its components be warranted.
(3)
The Commission may prescribe rules for extending the period of time a
written warranty or service contract is in effect to correspond with
any period of time in excess of a reasonable period (not less than 10
days) during which the consumer is deprived of the use of such consumer
product by reason of failure of the product to conform with the written
warranty or by reason of the failure of the warrantor (or service
contractor) to carry out such warranty (or service contract) within the
period specified in the warranty (or service contract).
(c)
Prohibition on conditions for written or implied warranty; waiver by
Commission No warrantor of a consumer product may condition his written
or implied warranty of such product on the consumer's using, in
connection with such product, any article or service (other than
article or service provided without charge under the terms of the
warranty) which is identified by brand, trade, or corporate name;
except that the prohibition of this subsection may be waived by the
Commission if -
(1)
the warrantor satisfies the Commission that the warranted product will
function properly only if the article or service so identified is used
in connection with the warranted product, and
(2)
the Commission finds that such a waiver is in the public interest. The
Commission shall identify in the Federal Register, and permit public
comment on, all applications for waiver of the prohibition of this
subsection, and shall publish in the Federal Register its disposition
of any such application, including the reasons therefor.
(d)
Incorporation by reference of detailed substantive warranty provisions
The Commission may by rule devise detailed substantive warranty
provisions which warrantors may incorporate by reference in their
warranties.
(e)
Applicability to consumer products costing more than $5
The provisions of this section apply only to warranties which pertain
to consumer products actually costing the consumer more than $5.
Section
2303. Designation of written warranties
(a)
Full (statement of duration) or limited warranty
Any warrantor warranting a consumer product by means of a written
warranty shall clearly and conspicuously designate such warranty in the
following manner, unless exempted from doing so by the Commission
pursuant to subsection (c) of this section:
(1)
If the written warranty meets the Federal minimum standards for
warranty set forth in section 2304 of this title, then it shall be
conspicuously designated a ''full (statement of duration) warranty''.
(2)
If the written warranty does not meet the Federal minimum standards for
warranty set forth in section 2304 of this title, then it shall be
conspicuously designated a "limited warranty".
(b)
Applicability of requirements, standards, etc., to representations or
statements of customer satisfaction
This section and sections 2302 and 2304 of this title shall not apply
to statements or representations which are similar to expressions of
general policy concerning customer satisfaction and which are not
subject to any specific limitations.
(c)
Exemptions by Commission
In addition to exercising the authority pertaining to disclosure
granted in section 2302 of this title, the Commission may by rule
determine when a written warranty does not have to be designated either
''full (statement of duration)'' or ''limited'' in accordance with this
section.
(d)
Applicability to consumer products costing more than $10 and not
designated as full warranties
The provisions of subsections (a) and (c) of this section apply only to
warranties which pertain to consumer products actually costing the
consumer more than $10 and which are not designated "full (statement of
duration) warranties".
Section
2304. Federal minimum standards for warranties
(a)
Remedies under written warranty; duration of implied warranty;
exclusion or limitation on consequential damages for breach of written
or implied warranty; election of refund or replacement. In order for a
warrantor warranting a consumer product by means of a written warranty
to meet the Federal minimum standards for warranty -
(1)
such warrantor must as a minimum remedy such consumer product within a
reasonable time and without charge, in the case of a defect,
malfunction, or failure to conform with such written warranty;
(2)
notwithstanding section 2308(b) of this title, such warrantor may not
impose any limitation on the duration of any implied warranty on the
product;
(3)
such warrantor may not exclude or limit consequential damages for
breach of any written or implied warranty on such product, unless such
exclusion or limitation conspicuously appears on the face of the
warranty; and
(4)
if the product (or a component part thereof) contains a defect or
malfunction after a reasonable number of attempts by the warrantor to
remedy defects or malfunctions in such product, such warrantor must
permit the consumer to elect either a refund for, or replacement
without charge of, such product or part (as the case may be). The
Commission may by rule specify for purposes of this paragraph, what
constitutes a reasonable number of attempts to remedy particular kinds
of defects or malfunctions under different circumstances. If the
warrantor replaces a component part of a consumer product, such
replacement shall include installing the part in the product without
charge.
(b)
Duties and conditions imposed on consumer by warrantor
(1)
In fulfilling the duties under subsection (a) of this section
respecting a written warranty, the warrantor shall not impose any duty
other than notification upon any consumer as a condition of securing
remedy of any consumer product which malfunctions, is defective, or
does not conform to the written warranty, unless the warrantor has
demonstrated in a rule making proceeding, or can demonstrate in an
administrative or judicial enforcement proceeding (including private
enforcement), or in an informal dispute settlement proceeding, that
such a duty is reasonable.
(2)
Notwithstanding paragraph (1), a warrantor may require, as a condition
to replacement of, or refund for, any consumer product under subsection
(a) of this section, that such consumer product shall be made available
to the warrantor free and clear of liens and other encumbrances, except
as otherwise provided by rule or order of the Commission in cases in
which such a requirement would not be practicable.
(3)
The Commission may, by rule define in detail the duties set forth in
subsection (a) of this section and the applicability of such duties to
warrantors of different categories of consumer products with ''full
(statement of duration)'' warranties.
(4)
The duties under subsection (a) of this section extend from the
warrantor to each person who is a consumer with respect to the consumer
product.
(c)
Waiver of standards
The performance of the duties under subsection (a) of this section
shall not be required of the warrantor if he can show that the defect,
malfunction, or failure of any warranted consumer product to conform
with a written warranty, was caused by damage (not resulting from
defect or malfunction) while in the possession of the consumer, or
unreasonable use (including failure to provide reasonable and necessary
maintenance).
(d)
Remedy without charge
For purposes of this section and of section 2302(c) of this title, the
term ''without charge'' means that the warrantor may not assess the
consumer for any costs the warrantor or his representatives incur in
connection with the required remedy of a warranted consumer product. An
obligation under subsection (a)(1)(A) of this section to remedy without
charge does not necessarily require the warrantor to compensate the
consumer for incidental expenses; however, if any incidental expenses
are incurred because the remedy is not made within a reasonable time or
because the warrantor imposed an unreasonable duty upon the consumer as
a condition of securing remedy, then the consumer shall be entitled to
recover reasonable incidental expenses which are so incurred in any
action against the warrantor.
(e)
Incorporation of standards to products designated with full warranty
for purposes of judicial actions
If a supplier designates a warranty applicable to a consumer product as
a ''full (statement of duration)'' warranty, then the warranty on such
product shall, for purposes of any action under section 2310(d) of this
title or under any State law, be deemed to incorporate at least the
minimum requirements of this section and rules prescribed under this
section.
Section
2305. Full and limited warranting of a consumer product
Nothing
in this chapter shall prohibit the selling of a consumer product which
has both full and limited warranties if such warranties are clearly and
conspicuously differentiated.
Section
2306. Service contracts; rules for full, clear and conspicuous
disclosure of terms and conditions; addition to or in lieu of written
warranty
(a)
The Commission may prescribe by rule the manner and form in which the
terms and conditions of service contracts shall be fully, clearly, and
conspicuously disclosed.
(b)
Nothing in this chapter shall be construed to prevent a supplier or
warrantor from entering into a service contract with the consumer in
addition to or in lieu of a written warranty if such contract fully,
clearly, and conspicuously discloses its terms and conditions in simple
and readily understood language.
Section
2307. Designation of representatives by warrantor to perform duties
under written or implied warranty
Nothing
in this chapter shall be construed to prevent any warrantor from
designating representatives to perform duties under the written or
implied warranty: Provided, That such warrantor shall make reasonable
arrangements for compensation of such designated representatives, but
no such designation shall relieve the warrantor of his direct
responsibilities to the consumer or make the representative a
co-warrantor.
Section
2308. Implied warranties
(a)
Restrictions on disclaimers or modifications
No supplier may disclaim or modify (except as provided in subsection
(b) of this section) any implied warranty to a consumer with respect to
such consumer product if
(1)
such supplier makes any written warranty to the consumer with respect
to such consumer Product, or
(2)
at the time of sale, or within 90 days thereafter, such supplier enters
into a service contract with the consumer which applies to such
consumer product.
(b)
Limitation on duration
For purposes of this chapter (other than section 2304(a)(2) of this
title), implied warranties may be limited in duration to the duration
of a written warranty of reasonable duration, if such limitation is
conscionable and is set forth in clear and unmistakable language and
prominently displayed on the face of the warranty.
(c)
Effectiveness of disclaimers, modifications, or limitations
A disclaimer, modification, or limitation made in violation of this
section shall be ineffective for purposes of this chapter and State
law.
Section
2309. Procedures applicable to promulgation of rules by Commission
(a)
Oral presentation
Any rule prescribed under this chapter shall be prescribed in
accordance with section 553 of title 5; except that the Commission
shall give interested persons an opportunity for oral presentations of
data, views, and arguments, in addition to written submissions. A
transcript shall be kept of any oral presentation. Any such rule shall
be subject to judicial review under section 57a(e) of this title in the
same manner as rules prescribed under section 57a(a)(1)(B) of this
title, except that section 57a(e)(3)(B) of this title shall not apply.
(b)
Warranties and warranty practices involved in sale of used motor
vehicles
The Commission shall initiate within one year after January 4, 1975, a
rulemaking proceeding dealing with warranties and warranty practices in
connection with the sale of used motor vehicles; and, to the extent
necessary to supplement the protections offered the consumer by this
chapter, shall prescribe rules dealing with such warranties and
practices. In prescribing rules under this subsection, the Commission
may exercise any authority it may have under this chapter, or other
law, and in addition it may require disclosure that a used motor
vehicle is sold without any warranty and specify the form and content
of such disclosure.
Section
2310. Remedies in consumer disputes
(a)
Informal dispute settlement procedures; establishment; rules setting
forth minimum requirements; effect of compliance by warrantor; review
of informal procedures or implementation by Commission; application to
existing informal procedures
(1)
Congress hereby declares it to be its policy to encourage warrantors to
establish procedures whereby consumer disputes are fairly and
expeditiously settled through informal dispute settlement mechanisms.
(2)
The Commission shall prescribe rules setting forth minimum requirements
for any informal dispute settlement procedure which is incorporated
into the terms of a written warranty to which any provision of this
chapter applies. Such rules shall provide for participation in such
procedure by independent or governmental entities.
(3)
One or more warrantors may establish an informal dispute settlement
procedure which meets the requirements of the Commission's rules under
paragraph (2). If -
(A) a warrantor establishes such a procedure,
(B) such procedure, and its implementation, meets the
requirements of such rules, and
(C) he incorporates in a written warranty a requirement that
the consumer resort to such procedure before pursuing any legal remedy
under this section respecting such warranty, then
(i) the consumer may not commence a civil action (other than
a class action) under subsection (d) of this section unless he
initially resorts to such procedure; and
(ii) a class of consumers may not proceed in a class action
under subsection (d) of this section except to the extent the court
determines necessary to establish the representative capacity of the
named plaintiffs, unless the named plaintiffs (upon notifying the
defendant that they are named plaintiffs in a class action with respect
to a warranty obligation) initially resort to such procedure. In the
case of such a class action which is brought in a district court of the
United States, the representative capacity of the named plaintiffs
shall be established in the application of rule 23 of the Federal Rules
of Civil Procedure. In any civil action arising out of a warranty
obligation and relating to a matter considered in such a procedure, any
decision in such procedure shall be admissible in evidence.
(4)
The Commission on its own initiative may, or upon written complaint
filed by any interested person shall, review the bona fide operation of
any dispute settlement procedure resort to which is stated in a written
warranty to be a prerequisite to pursuing a legal remedy under this
section.
If
the Commission finds that such procedure or its implementation fails to
comply with the requirements of the rules under paragraph (2), the
Commission may take appropriate remedial action under any authority it
may have under this chapter or any other provision of law.
(5)
Until rules under paragraph (2) take effect, this subsection shall not
affect the validity of any informal dispute settlement procedure
respecting consumer warranties, but in any action under subsection (d)
of this section, the court may invalidate any such procedure if it
finds that such procedure is unfair.
(b)
Prohibited acts It shall be a violation of section 45(a)(1) of this
title for any person to fail to comply with any requirement imposed on
such person by this chapter (or a rule thereunder) or to violate any
prohibition contained in this chapter (or a rule thereunder).
(c)
Injunction proceedings by Attorney General or Commission for deceptive
warranty, noncompliance with requirements, or violating prohibitions;
procedures; definitions
(1)
The district courts of the United States shall have jurisdiction of any
action brought by the Attorney General (in his capacity as such), or by
the Commission by any of its attorneys designated by it for such
purpose, to restrain
(A) any warrantor from making a deceptive warranty with
respect to a consumer product, or
(B) any person from failing to comply with any requirement
imposed on such person by or pursuant to this chapter or from violating
any prohibition contained in this chapter. Upon proper showing that,
weighing the equities and considering the Commission's or Attorney
General's likelihood of ultimate success, such action would be in the
public interest and after notice to the defendant, a temporary
restraining order or preliminary injunction may be granted without
bond. In the case of an action brought by the Commission, if a
complaint under section 45 of this title is not filed within such
period (not exceeding 10 days) as may be specified by the court after
the issuance of the temporary restraining order or preliminary
injunction, the order or injunction shall be dissolved by the court and
be of no further force and effect. Any suit shall be brought in the
district in which such person resides or transacts business. Whenever
it appears to the court that the ends of justice require that other
persons should be parties in the action, the court may cause them to be
summoned whether or not they reside in the district in which the court
is held, and to that end process may be served in any district.
(2)
For the purposes of this subsection, the term ''deceptive warranty''
means
(A) a written warranty which (i) contains an affirmation,
promise, description, or representation which is either false or
fraudulent, or which, in light of all of the circumstances, would
mislead a reasonable individual exercising due care; or (ii) fails to
contain information which is necessary in light of all of the
circumstances, to make the warranty not misleading to a reasonable
individual exercising due care; or
(B) a written warranty created by the use of such terms as
''guaranty'' or ''warranty'', if the terms and conditions of such
warranty so limit its scope and application as to deceive a reasonable
individual.
(d)
Civil action by consumer for damages, etc.; jurisdiction; recovery of
costs and expenses; cognizably claims
(1)
Subject to subsections (a)(3) and (e) of this section, a consumer who
is damaged by the failure of a supplier, warrantor, or service
contractor to comply with any obligation under this chapter, or under a
written warranty, implied warranty, or service contract, may bring suit
for damages and other legal and equitable relief -
(A) in any court of competent jurisdiction in any State or
the District of Columbia; or
(B) in an appropriate district court of the United States,
subject to paragraph (3) of this subsection.
(2)
If a consumer finally prevails in any action brought under paragraph
(1) of this subsection, he may be allowed by the court to recover as
part of the judgment a sum equal to the aggregate amount of cost and
expenses (including attorneys' fees based on actual time expended)
determined by the court to have been reasonably incurred by the
plaintiff for or in connection with the commencement and prosecution of
such action, unless the court in its discretion shall determine that
such an award of attorneys' fees would be inappropriate.
(3)
No claim shall be cognizably in a suit brought under paragraph (1)(B)
of this subsection -
(A) if the amount in controversy of any individual claim is
less than the sum or value of $25;
(B) if the amount in controversy is less than the sum or
value of $50,000 (exclusive of interests and costs) computed on the
basis of all claims to be determined in this suit; or
(C) if the action is brought as a class action, and the
number of named plaintiffs is less than one hundred.
(e)
Class actions; conditions; procedures applicable
No action (other than a class action or an action respecting a warranty
to which subsection (a)(3) of this section applies) may be brought
under subsection (d) of this section for failure to comply with any
obligation under any written or implied warranty or service contract,
and a class of consumers may not proceed in a class action under such
subsection with respect to such a failure except to the extent the
court determines necessary to establish the representative capacity of
the named plaintiffs, unless the person obligated under the warranty or
service contract is afforded a reasonable opportunity to cure such
failure to comply. In the case of such a class action (other than a
class action respecting a warranty to which subsection (a)(3) of this
section applies) brought under subsection (d) of this section for
breach of any written or implied warranty or service contract, such
reasonable opportunity will be afforded by the named plaintiffs and
they shall at that time notify the defendant that they are acting on
behalf of the class. In the case of such a class action which is
brought in a district court of the United States, the representative
capacity of the named plaintiffs shall be established in the
application of rule 23 of the Federal Rules of Civil Procedure.
(f)
Warrantors subject to enforcement of remedies
For purposes of this section, only the warrantor actually making a
written affirmation of fact, promise, or undertaking shall be deemed to
have created a written warranty, and any rights arising thereunder may
be enforced under this section only against such warrantor and no other
person.
Section
2311. Applicability to other laws
(a)
Federal Trade Commission Act and Federal Seed Act
(1)
Nothing contained in this chapter shall be construed to repeal,
invalidate, or supersede the Federal Trade Commission Act (15 U.S.C. 41
et seq.) or any statute defined therein as an Antitrust Act.
(2)
Nothing in this chapter shall be construed to repeal, invalidate, or
supersede the Federal Seed Act (7 U.S.C. 1551 et seq.) and nothing in
this chapter shall apply to seed for planting.
(b)
Rights, remedies, and liabilities
(1)
Nothing in this chapter shall invalidate or restrict any right or
remedy of any consumer under State law or any other Federal law.
(2)
Nothing in this chapter (other than sections 2308 and 2304(a)(2) and
(4) of this title) shall (A) affect the liability of, or impose
liability on, any person for personal injury, or (B) supersede any
provision of State law regarding consequential damages for injury to
the person or other injury.
(c)
State warranty laws
(1)
Except as provided in subsection (b) of this section and in paragraph
(2) of this subsection, a State requirement -
(A) which relates to labeling or disclosure with respect to
written warranties or performance thereunder;
(B) which is within the scope of an applicable requirement of
sections 2302, 2303, and 2304 of this title (and rules implementing
such sections), and
(C) which is not identical to a requirement of section 2302,
2303, or 2304 of this title (or a rule thereunder), shall not be
applicable to written warranties complying with such sections (or rules
thereunder).
(2)
If, upon application of an appropriate State agency, the Commission
determines (pursuant to rules issued in accordance with section 2309 of
this title) that any requirement of such State covering any transaction
to which this chapter applies
(A) affords protection to consumers greater than the
requirements of this chapter and
(B) does not unduly burden interstate commerce, then such
State requirement shall be applicable (notwithstanding the provisions
of paragraph (1) of this subsection) to the extent specified in such
determination for so long as the State administers and enforces
effectively any such greater requirement.
(d) Other Federal warranty laws This chapter (other than
section 2302(c) of this title) shall be inapplicable to any written
warranty the making or content of which is otherwise governed by
Federal law. If only a portion of a written warranty is so governed by
Federal law, the remaining portion shall be subject to this chapter.
Section
2312. Effective dates
(a)
Effective date of chapter
Except as provided in subsection (b) of this section, this chapter
shall take effect 6 months after January 4, 1975, but shall not apply
to consumer products manufactured prior to such date.
(b)
Effective date of section 2302(a)
Section 2302(a) of this title shall take effect 6 months after the
final publication of rules respecting such section; except that the
Commission, for good cause shown, may postpone the applicability of
such sections until one year after such final publication in order to
permit any designated classes of suppliers to bring their written
warranties into compliance with rules promulgated pursuant to this
chapter.
(c)
Promulgation of rules
The Commission shall promulgate rules for initial implementation of
this chapter as soon as possible after January 4, 1975, but in no event
later than one year after such date.
You'll often hear this myth regarding hacking
or modding your car: it automatically cancels your warranty. Don't
believe it as gospel. Sure, changing the windshield wiper blades can't
cause the transmission to break, but your warranty won't allow you to
do whatever you want to your car.
Warranty requirements
When it comes to new car warranties,
automotive owners and enthusiasts have a very important lobbying body
on their side, namely SEMA (the Specialty Equipment Market
Association). SEMA represents the aftermarket manufacturers,
wholesalers, retailers, and distributors in North America. Because this
association of aftermarket parts suppliers has a vested interest in the
continued sale of aftermarket parts, it has helped to keep new car
manufacturers in check by successfully lobbying for legislation that
prevents new car dealership service providers from denying warranty
coverage, for example in a seized motor, because you chose to use those
snazzy aftermarket carbon fiber windshield wipers instead of the OEM
(Original Equipment Manufacturer) parts sold through their
parts/service departments.
Magnuson-Moss Warranty Act
The relevant legislation here, the
Magnuson-Moss Warranty - Federal Trade Commission Improvement Act of
1975, protects consumers from being wrongfully denied warranty coverage
by new car dealers.
The Magnuson-Moss Warranty Act states, in
part, in Title 15, United States Code, Section 2302, subdivision (c):
No warrantor of a consumer product may condition his written or implied
warranty of such product on the consumer's using, in connection with
such product, any article or service (other than article or service
provided without charge under the terms of the warranty) which is
identified by brand, trade, or corporate name; except that the
prohibition of this subsection may be waived by the [Federal Trade]
Commission if —
(1) the warrantor satisfies the Commission that the warranted product
will function properly only if the article or service so identified is
used in connection with the warranted product, and
(2) the Commission finds that such a waiver
is in the public interest. The Commission shall identify in the Federal
Register, and permit public comment on, all applications for waiver of
the prohibition of this subsection, and shall publish in the Federal
Register its disposition of any such application, including the reasons
therefore.
Under this federal statute, a manufacturer
who issues a warranty on your motor vehicle is prohibited from
requiring you to use a service or maintenance item, unless such item is
provided, free of charge, under your warranty or unless the Federal
Trade Commission (FTC) waives this prohibition against the manufacturer.
Further, under the act, aftermarket equipment
that improves performance does not automatically void a vehicle
manufacturer's original warranty, unless the warranty clearly states
the addition of aftermarket equipment automatically voids your
vehicle's warranty, or if it can be proven that the aftermarket device
is the direct cause of the failure.
Specifically, the rules and regulations
adopted by the FTC to govern the interpretation and enforcement of the
Magnuson-Moss Warranty Act are set forth in the Code of Federal
Regulations, Title 16 - Commercial Practices, Chapter I - Federal Trade
Commission, Subchapter G - Rules, Regulations, Statements and
Interpretations under the Magnuson-Moss Warranty Act, Part 700 -
Interpretations under the Magnuson-Moss Warranty Act. Contained within
these rules and regulations is Section 700.10, which states:
No warrantor may condition the continued validity of a warranty on the
use of only authorized repair service and/or authorized replacement
parts for non-warranty service and maintenance. For example, provisions
such as, "This warranty is void if service is performed by
anyone other than an authorized 'ABC' dealer and all replacement parts
must be genuine 'ABC' parts," and the like, are prohibited where the
service or parts are not covered by the warranty. These
provisions violate the Act in two ways. First, they violate the section
102(c) ban against tying arrangements. Second, such provisions are
deceptive under section 110 of the Act, because a warrantor cannot, as
a matter of law, avoid liability under a written warranty where a
defect is unrelated to the use by a consumer of "unauthorized" articles
or service. This does notprecludea warrantor from expressly
excluding liability for defects or damage caused by such "unauthorized"
articles or service; nor does it preclude the warrantor from denying
liability where the warrantor can demonstrate that the defect or damage
was so caused.
Under the Magnuson-Moss Act, a dealer must
prove, not just vocalize, that aftermarket equipment caused the need
for repairs before it can deny warranty coverage. If the dealer cannot
prove such a claim — or it proffers a questionable explanation — it is
your legal right to demand compliance with the warranty. The Federal
Trade Commission administers the Magnuson-Moss Act and monitors
compliance with warranty law.
That being said, if you choose to modify your
car, and suddenly the fancy new electronic control boxes that you added
to your car make it run rough, not start when cold, or buck like a
bronco, the dealer can and will charge a diagnostic fee to find out
what is wrong with your car. If it turns out that your modifications
are the cause of the problem, the dealer has every right not only to
charge you for the diagnosis and repair, but to also void the portion
of the warranty that has been compromised by the use of those
aftermarket parts. Likewise, a dealer may refuse to service your car if
it is adorned with aftermarket parts to the extent that its technicians
cannot reasonably be expected to diagnose what is wrong with your car.
As an example, all cars manufactured after 1994 are equipped with OBDII
(On Board Diagnostics II) ports that dealers use to read engine
diagnostic codes for everything from an engine vacuum leak to a
malfunctioning emissions system. If your chosen modification has
compromised the dealer service center's ability to scan for these codes
(aftermarket ECUs generally do not support OBDII), then there is a
strong probability that the dealer service center will
*Deny warranty coverage
*Refuse to service the car
*Note with your factory field representative
for your region/district that your car has been "modified"
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Your car's manufacturer notes are your car's
"permanent record." Above all else, avoid compromising these notes.
This is nearly always connected with your vehicles' VIN (Vehicle
Identification Number) and will
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*Ensure that your car will not have its
warranty honored at any dealer service center in your area.
*Dramatically reduce the resale and/or
trade-in value of your car.
Federal Warranty Laws For Your
Car, Truck, Van Or Suv
1.The
Magnuson-Moss Warranty Act (15 U.S.C. 2302(C))
This federal law regulates warranties for the protection of consumers.
The essence of the law concerning new aftermarket auto parts is that a
vehicle manufacturer may not condition a written or implied warranty on
the consumers using parts or services which are identified by brand,
trade, or corporate name (such as the vehicle maker's brand) unless the
parts or service are provided free of charge. The law means that the
use of an aftermarket part alone is not cause for denying the warranty.
However, the law's protection does not extend to aftermarket parts in
situations where such parts actually caused the damage being claimed
under the warranty. Further, consumers are advised to be aware of any
specific terms or conditions stated in the warranty which may result in
its being voided. The law states in relevant part:
No warrantor of a consumer product may
condition his written or implied warranty of such product on the
consumers using, in connection with such product, any article or
service (other than article or service provided without charge under
the terms of the warranty) which is identified by brand, trade or
corporate name... (15 U.S.C. 2302(C)).
2. Clean Air Act Warranty Provisions
(42 U.S.C. S 7541 (C) (3) (B))
The federal Clean Air Act requires vehicle makers to provide two
emissions-related warranties -- a production warranty and a performance
warranty. The production warranty requires the vehicle maker to warrant
that the vehicle is designed, built and equipped so that it conforms
with emissions requirements at the time of sale. The performance
warranty requires the vehicle maker to warrant that the vehicle will
comply with applicable emissions requirements as tested under state
vehicle emissions inspection programs for the warranty periods
specified in the law (for model year 1995 and later vehicles, the
warranty is 2 years / 24,000 miles for all emissions-related parts and
8 years / 80,000 miles for the catalytic converter, electronic
emissions control unit and on-board diagnostic device). The performance
warranty is conditioned on the vehicle being properly maintained and
operated.
Like the Magnuson-Moss Act, vehicle
manufacturers may not refuse warranty repairs under the Clean Air Acts
performance and defect warranties merely because aftermarket parts have
been installed on the vehicle. The only circumstance under which the
vehicle manufacturer can void the emissions warranties is if an
aftermarket part is responsible for (causes) the warranty claim.
There are rules
to be followed. It's not just the Wild West, shooting from the hip.
They can't deny
everything, all the time!
HOPE THIS HELPS!
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