Laws

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On this page we well be discussing vehicle warranty laws and warranty and vehicle market in general when it comes to law. When searching for extended warranty for your Toyota vehicle it would not be a complete waste of time to find out local and country laws regarding both those for vehicles and warranties in general. Not knowing is not an excuse and knowing what your legal rights are can be very helpful. Be it a regional or a country level, in most countries there are at least some laws that govern the motor vehicles and roads so those laws need to be considered too. There are some responsibilities on the customer too. For example, if you plan to use your warranty be careful with your vehicle, and go to regular maintenance and checks, as sometimes insurance companies will deny the payment for the damages that are done by pure negligence. With all that said, if you have serious questions regarding the law, then it is talking to a layer is recommend, use this page as an reference only.

In many countries there are laws regarding the emissions coming out of a vehicle. In such a case it would be wise to look at the warranty terms as there are often warranties on a level of gases coming out of the engine, so the owner will be able to use this warranty to repair the exhaust, often without any additional charges. In the most cases it is capped to exact date in the future. There are also certifications on the vehicles shown in a showroom that can confirm that the vehicle has been tested according to the standards and has gotten a certification for passing all the tests needed. Be advised that those tests are not standardized with authorities but arbitrary put by the manufacturers according to their standards.

When looking at warranty market in general, one of the most known warranty laws in United States of America is Magnuson-Moss Warranty act of 1975 that is governing laws on consumer products, or final goods and as such it also includes the vehicles. Its purpose was to stop merchants that have been putting false, misleading or difficult to understood promises into their warranties and disclaimers. The introduction of this law has enabled people to access warranty information more easily and also to understand it better. This laws list the requirements that have to be put to paper in the same time prohibiting restriction of implied warranties. This law also encouraged the competition on warranty market and provided mechanisms for dispute resolution in the form of warranty litigation to become widespread alternative to lawsuits. Dispute resolution can be done by neutral third party such as Better Business Bureau.

When it comes to warranty types as expressed by the law, the express warranty (written or said one) can be limited or full. Full warranties should have no limitations to implied warranties duration and are providing the customer with the option to replace or refund the faulty product to any owner free of charge. Provider needs to demonstrate that any duties it imposes are reasonable. Full warranties are also transferable when the vehicle changes the owner. Limited warranty lacks one or several of previously listed requirements. There may be a combination of full and limited warranty, for example the first period of time it can be full warranty, and limited for the remainder of coverage time. Warranties need to be available before the sale is made, and they should be able to be viewed by the place that the product is sold. When you come across a Lifetime warranty it does not mean „forever“, duration will simply depend on the duration of the product line on the market or simply on the merchant availability. Consequential damages are those damages that were caused by the faulty product, often called incidental damages. There are also tie-in sales provisions that demand the purchase of additional products or services in order to obtain that level of coverage. 15 U.S Code Chapter 50 states various rules regarding the warranties in detail. For example code 2301-2312 discuss definitions, rules, designations of written warranties, federal and minimal standards and various definitions, procedures, dates and applicability of other laws.

Some even say that written warranty is not all, that all the TV, newspaper and similar ads are warranty by itself and that one can demand that its rights are honored. There is a list of requirements of vehicle producer to the purchaser of the vehicle, though there is no requirement to put it to written form. They are not the same as the warranties that must be put in writing between the seller and the buyer of the vehicle. After signing up and paying all the necessary fees on becomes protected by the law, and potential one side break of terms by provider of warranties becomes the offense that is punishable by law and a ground for lawsuit of the dealers breaking the terms.

Uniform Commercial Code set of laws in power in all the states that implies warranty and that customers are expected to be free of defect and that they will function properly for a reasonable period of time. There are products that are allowed to be sold „as is“, but many US states prohibit selling the products under such terms. There was a case of a car dealership that was misleading the customers by telling them that manufacturer is obligated to repair their vehicles. One can still ask the company to replace whatever it is that had a fault. If you do not have a written warranty, you may try to use various performance promises, advertising in print if possible and contact them by email. Having a written warranty is a much safer solution that is providing better protection by the law.

Lemon Law is another important warranty law. If manufacturers or state representatives are unable to make repairs or service a vehicle in reasonable number of times then the manufacturer is required to replace the vehicle or refund the buyer. The law is in effect during the whole warranty period. As the „reasonable number of times“ is open to interpretations this law is regarded as a guide more than as an exact rule. Other countries have similar warranty laws. For example there are Australian laws that punish the merchants that are using pressure you to buy it or other similarly unethical tactics or are misleading customers into paying for services that are already given by customer guarantee.

When it comes to federal laws regarding emissions, there are several warranties that the companies are required to provide. First there is the Performance warranty that will cover the components that are part of the federal emissions warranty and is used in case the vehicle fails the emissions test in which case the expenses of repair will be covered by warranty if it is still valid. The second one is Design and defect warranty that covers emission related parts in case they have failed as a result of the material or workmanship defects. The components that are included in this warranty will be repaired or replaced free of charge if within the mileage or duration terms in authorized service center. When the emission warranty expires the owner will likely continue to have protection on those components as part of factory warranty that is often better in terms of the years and mileage provided. The components that are covered by emissions law will be valid for 24,000 – 80,000 miles and will expire after 2-8 years of coverage.