Magnuson–Moss Warranty Act: Difference between revisions
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==Summary== | ==Summary== | ||
The Magnuson-Moss Warranty Act (MMWA) is a landmark U.S. federal law (15 U.S.C. § 2301 et seq.) enacted on January 4, 1975, to govern consumer product warranties. Sponsored by Senator Warren G. Magnuson and Representative John E. Moss, the Act was designed to address widespread misuse of warranties by manufacturers, particularly through unfair disclaimers and misleading practices <ref name=":0">{{Cite web |last= |first= |date= |title= |url=https://www.autosafety.org/the-magnuson-moss-warranty-act-an-overview/ |website= }}</ref><ref name=":1">{{Cite web |last= |first= |date= |title= |url=https://www.autosafety.org/magnuson-moss-overview/ |website= }}</ref> | The Magnuson-Moss Warranty Act (MMWA) is a landmark U.S. federal law (15 U.S.C. § 2301 et seq.) enacted on January 4, 1975, to govern consumer product warranties. Sponsored by Senator Warren G. Magnuson and Representative John E. Moss, the Act was designed to address widespread misuse of warranties by manufacturers, particularly through unfair disclaimers and misleading practices. <ref name=":0">{{Cite web |last= |first= |date= |title= |url=https://www.autosafety.org/the-magnuson-moss-warranty-act-an-overview/ |website= }}</ref><ref name=":1">{{Cite web |last= |first= |date= |title= |url=https://www.autosafety.org/magnuson-moss-overview/ |website= }}</ref> | ||
==Purpose== | ===Purpose=== | ||
Its primary objectives are to: | Its primary objectives are to: | ||
*Make warranties more transparent and enforceable for consumers | *Make warranties more transparent and enforceable for consumers. | ||
*Establish federal standards for warranty content and disclosure | *Establish federal standards for warranty content and disclosure. | ||
*Enhance the Federal Trade Commission's (FTC) consumer protection capabilities <ref name=":2">{{Cite web |last= |first= |date= |title= |url=https://connlawpc.com/blog/magnuson-moss-warranty-act/ |website= }}</ref> | *Enhance the Federal Trade Commission's (FTC) consumer protection capabilities.<ref name=":2">{{Cite web |last= |first= |date= |title= |url=https://connlawpc.com/blog/magnuson-moss-warranty-act/ |website= }}</ref> | ||
==Key | ===Key provisions=== | ||
Warranty disclosure standards | Warranty disclosure standards | ||
:Warranties must be written in clear, simple language and disclose terms conspicuously, they must specify: | :Warranties must be written in clear, simple language and disclose terms conspicuously, they must specify: | ||
:*Coverage details and duration | :*Coverage details and duration. | ||
:*Remedies available | :*Remedies available. | ||
:*Exclusions and limitations | :*Exclusions and limitations. | ||
:*Procedures for obtaining service <ref name=":3">{{Cite web |last= |first= |date= |title= |url=https://www.ftc.gov/business-guidance/resources/businesspersons-guide-federal-warranty-law |website= }}</ref> | :*Procedures for obtaining service.<ref name=":3">{{Cite web |last= |first= |date= |title= |url=https://www.ftc.gov/business-guidance/resources/businesspersons-guide-federal-warranty-law |website= }}</ref> | ||
===Full vs. | ===Full vs. limited warranties=== | ||
'''Full | '''Full warranty''' | ||
:Must meet federal minimum standards including free repair/replacement, no time limits on implied warranties, and option for refund/replacement after reasonable repair attempts.<ref name=":1"></ref> | :Must meet federal minimum standards including free repair/replacement, no time limits on implied warranties, and option for refund/replacement after reasonable repair attempts.<ref name=":1"></ref> | ||
'''Limited | '''Limited warranty''' | ||
:Any warranty that doesn't meet full warranty standards must be conspicuously designated as "limited". | :Any warranty that doesn't meet full warranty standards must be conspicuously designated as "limited". | ||
'''Implied | '''Implied warranties''' | ||
:The Act preserves state-law implied warranties (merchantability and fitness for particular purpose) and prohibits their disclaimer when a written warranty is provided.<ref name=":3"></ref> | :The Act preserves state-law implied warranties (merchantability and fitness for particular purpose) and prohibits their disclaimer when a written warranty is provided.<ref name=":3"></ref> | ||
===Prohibitions=== | ===Prohibitions=== | ||
*Tie-In | *Tie-In sales provisions: Manufacturers cannot require use of specific brands/parts (e.g., OEM parts) unless provided free of charge.<ref name=":4">{{Cite web |last= |first= |date= |title= |url=https://www.autocare.org/government-relations/current-issues/Magnuson-Moss-Warranty-Act |website= }}</ref> <ref name=":5">{{Cite web |last= |first= |date= |title= |url=https://ecogard.com/resources/articles/magnuson-moss-protection-consumers-installers/ |website= }}</ref> | ||
*Deceptive | *Deceptive warranty terms: Warranties cannot mislead consumers about coverage or contain unfulfillable promises.<ref name=":3"></ref> | ||
*Disclaimer of | *Disclaimer of implied warranties: When a written warranty or service contract is offered, implied warranties cannot be disclaimed.<ref name=":3"></ref> | ||
===Consumer remedies=== | ===Consumer remedies=== | ||
Legal action: Consumers can sue for breach of warranty and recover: | Legal action: Consumers can sue for breach of warranty and recover: | ||
*Damages | *Damages | ||
*Costs and expenses | *Costs and expenses | ||
*Attorney's fees (a significant provision making lawsuits economically viable). <ref name=":0"></ref><ref name=":1"></ref> | *Attorney's fees (a significant provision making lawsuits economically viable).<ref name=":0"></ref><ref name=":1"></ref> | ||
Alternative | Alternative dispute resolution: The FTC encourages informal settlement procedures, though pre-dispute mandatory arbitration clauses are controversial.<ref name=":1"></ref> | ||
===Scope and limitations=== | ===Scope and limitations=== | ||
*Applies only to consumer products (tangible personal property for personal/household use) costing more than $15.<ref>{{Cite web |last= |first= |date= |title= |url=https://www.govtrack.us/congress/bills/93/s356/text |website= }}</ref> | *Applies only to consumer products (tangible personal property for personal/household use) costing more than $15.<ref>{{Cite web |last= |first= |date= |title= |url=https://www.govtrack.us/congress/bills/93/s356/text |website= }}</ref> |