Warranties

Ottawa University – Indiana

Business Law – OAD31063

Warranties: Magnuson – Moss Warranty Act

Introduction

Before you make that next purchase, you may want to consider the warranty. Does the merchandise come with a warranty? How is the warranty beneficial to you? These are pertinent questions one must ask, it is important to be informed of your rights as the consumer; as well as the rights of the seller. Even when purchasing used merchandise, it is necessary to understand what protection you may have if the merchandise experiences a problem.

Warranties are excellent to have; however, the warranty at times may not be in favor of the buyer. Because consumers were not always protected, the Magnuson – Moss Warranty Act was enforced in 1975. The research in this paper will discuss this act with relation of how it offers protection to the consumer. This act helps to make distinctions between full and limited warranties that will be addressed also. Lastly, the research will explore the lemon laws.

History

Before diving in the Magnuson – Moss Warranty Act, let’s examine the meaning of the word warranty. Warranty is a guarantee or promise made by the manufacturer or seller that the goods or services offered really are what they claim to be, or that goods services are what a reasonable person has a right to expect (Luizzo, 2010). There are two types of warranties known as implied and express. The implied warranties are under state law and outlined in the Article 2 of the Uniform Commercial Code (UCC). The UCC is a resource for combining laws with regards to business as a method of restructuring interstate legal issues. (“Types of warranties,”).

Implied warranties are unspoken and unwritten promises made by a seller to a buyer that the product being sold works. The notion that embraces the implied warranty originates from common law, most specific, the belief of “fair value for money spent.” An express warranty is specific to the offer made...