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=": | 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=":1">{{Cite web |last=Brooks |first=Michael |date= |title=Magnuson-Moss Overview |url=https://www.autosafety.org/magnuson-moss-overview/ |website=autosaftey.org }}</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=Conn |first=Elliot |date=August 26, 2023 |title=Magnuson-Moss Warranty Act: A Guide for Consumers |url=https://connlawpc.com/blog/magnuson-moss-warranty-act/ |website= }}</ref> | ||
===Key provisions=== | ===Key provisions=== | ||
Warranty disclosure standards | Warranty disclosure standards | ||
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*Damages | *Damages | ||
*Costs and expenses | *Costs and expenses | ||
*Attorney's fees (a significant provision making lawsuits economically viable).<ref name=": | *Attorney's fees (a significant provision making lawsuits economically viable).<ref name=":1"></ref><ref name=":1"></ref> | ||
Alternative dispute resolution: The FTC encourages informal settlement procedures, though pre-dispute mandatory arbitration clauses are controversial.<ref name=":1"></ref> | 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> | ||
*Does not require products to have warranties | *Does not require products to have warranties, can be sold "as is". | ||
*Primarily covers written warranties | *Primarily covers written warranties, oral promises are excluded.<ref name=":1"></ref> | ||
*Does not preempt state laws, working alongside state lemon laws and UCC provisions.<ref name=":1"></ref><ref name=":2"></ref> | *Does not preempt state laws, working alongside state lemon laws and UCC provisions.<ref name=":1"></ref><ref name=":2"></ref> | ||
==Historical enforcement incidents== | ==Historical enforcement incidents== |