§2301. Definitions
15 USC §2301
For the purposes of this chapter:
(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.
§2302. Rules governing contents of warranties
15 USC.§2302
(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.
§2303. Designation of written warranties
15 USC §2303
(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”.
§2304. Federal minimum standards for warranties
15 USC §2304
(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 rulemaking 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.
§2305. Full and limited warranting of a consumer product
15 USC §2305
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.
§2306. Service contracts; rules for full, clear and conspicuous disclosure of terms and conditions; addition to or in lieu of written warranty
15 USC §2306
(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.
§2307. Designation of representatives by warrantor to perform duties under written or implied warranty
15 USC §2307
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 cowarrantor.
§2308. Implied warranties
15 USC §2308
(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.
§2309. Procedures applicable to promulgation of rules by Commission
15 USC §2309
(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, orother 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.
§2310. Remedies in consumer disputes
15 USC § 2310
(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; cognizable 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 cognizable 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 that 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.
§ 2311. Applicability to other laws
15 USC § 2311
(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 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 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.
§2312. Effective dates
15 USC §2312
(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.
16 CFR.§455.1
PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
§455.1 General duties of a used vehicle dealer; definitions.
(a) It is a deceptive act or practice for any used vehicle dealer, when that dealer sells or offers for sale a used vehicle in or affecting commerce as “commerce” is defined in the Federal Trade Commission Act:
(1) To misrepresent the mechanical condition of a used vehicle;
(2) To misrepresent the terms of any warranty offered in connection with the sale of a used vehicle; and
(3) To represent that a used vehicle is sold with a warranty when the vehicle is sold without any warranty.
(b) It is an unfair act or practice for any used vehicle dealer, when that
dealer sells or offers for sale a used vehicle in or affecting commerce as “commerce” is defined in the Federal Trade Commission Act:
(1) To fail to disclose, prior to sale, that a used vehicle is sold without any warranty; and
(2) To fail to make available, prior to sale, the terms of any written warranty offered in connection with the sale of a used vehicle.
(c) The Commission has adopted this Rule in order to prevent the unfair and deceptive acts or practices defined in paragraphs (a) and (b). It is a violation of this Rule for any used vehicle dealer to fail to comply with the requirements set forth in ss 455.2 through 455.5 of this part. If a used vehicle dealer complies with the requirements of ss 455.2 through 455.5 of this part, the dealer does not violate this Rule.
(d) The following definitions shall apply for purposes of this part:
(1) “Vehicle” means any motorized vehicle, other than a motorcycle, with a gross vehicle weight rating (GVWR) of less than 8500 lbs., a curb weight of less than 6,000 lbs., and a frontal area of less than 46 sq. ft.
(2) “Used vehicle” means any vehicle driven more than the limited use necessary in moving or road testing a new vehicle prior to delivery to a consumer, but does not include any vehicle sold only for scrap or parts (title documents surrendered to the state and a salvage certificate issued).
(3) “Dealer” means any person or business which sells or offers for sale a used vehicle after selling or offering for sale five (5) or more used vehicles in the previous twelve months, but does not include a bank or financial institution, a business selling a used vehicle to an employee of that business, or a lessor selling a leased vehicle by or to that vehicle’s lessee or to an employee of the lessee.
(4) “Consumer” means any person who is not a used vehicle dealer.
(5) “Warranty” means any undertaking in writing, in connection with the sale by a dealer of a used vehicle, to refund, repair, replace, maintain or take other action with respect to such used vehicle and provided at no extra charge beyond the price of the used vehicle.
(6) “Implied warranty” means an implied warranty arising under state law (as modified by the Magnuson-Moss Act) in connection with the sale by a dealer of a used vehicle.
(7) “Service contract” means a contract in writing for any period of time or any specific mileage to refund, repair, replace, or maintain a used vehicle and provided at an extra charge beyond the price of the used vehicle, provided that such contract is not regulated in your state as the business of insurance.
(8) “You” means any dealer, or any agent or employee of a dealer, except where the term appears on the window form required by s 455.2(a).
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.1
16 CFR s 455.1
END OF DOCUMENT
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.2
16 CFR s 455.2
END OF DOCUMENT
16 C.F.R. s 455.2
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.2 Consumer sales–window form.
(a) General duty. Before you offer a used vehicle for sale to a consumer, you must prepare, fill in as applicable and display on that vehicle a “Buyers Guide” as required by this Rule.
(1) The Buyers Guide shall be displayed prominently and conspicuously in any location on a vehicle and in such a fashion that both sides are readily readable. You may remove the form temporarily from the vehicle during any test drive, but you must return it as soon as the test drive is over.
(2) The capitalization, punctuation and wording of all items, headings, and text on the form must be exactly as required by this Rule. The entire form must
be printed in 100% black ink on a white stock no smaller than 11 inches high by 7 1/4 inches wide in the type styles, sizes and format indicated.
BUYERS GUIDE 28 pt Triumvirate Bold
caps
2 pt Rule
——————————————————-
IMPORTANT: Spoken promises are difficult to enforce. 10/12 Triumvirate Bold
Ask the dealer to put all promises in writing. Keep C & 1c flush left
this form. ragged right maximum
line 42 picas.
______________ ____________ ____________ ___________ 10 pt Baseline Rule
VEHICLE MAKE MODEL YEAR VIN NUMBER 6 pt Triumvirate Bold
Caps
__________________________________________ 10 pt Baseline Rule
DEALER STOCK NUMBER (Optional) 6 pt Triumvirate Bold
Caps
10 pt Triumvirate Bold
Caps
WARRANTIES FOR THIS VEHICLE:
2 pt Rule
——————————————————- 54 pt Box
42 pt Triumvirate Bold
Caps
( ) AS IS-NO WARRANTY
10/10 Triumvirate Bold
c & lc flush left
ragged right maximum
line 42 picas
YOU WILL PAY ALL COSTS FOR ANY REPAIRS. The dealer
assumes no responsibility for any repairs regardless
of any oral statements about the vehicle.
1 pt Rule
——————————————————-
54 pt Box
42 pt Triumvirate Bold
Caps
( ) WARRANTY
( ) FULL ( ) LIMITED WARRANTY. The dealer will pay 10/10 Triumvirate Bold
_____% of the labor and _____% of the C & 1c 4 1/2 picas
parts for the covered systems that indent on 2nd line
fail during the warranty period. Ask
the dealer for a copy of the warranty
document for a full explanation of
warranty coverage, exclusions, and
the dealer’s repair obligations.
Under state law, “implied warranties”
may give you even more rights.
SYSTEMS COVERED: DURATION: 10 pt Triumvirate Bold
Caps
10 pt Baseline Rule
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
____________________________ _________________________
( ) SERVICE CONTRACT. A service contract is available 10/10 Triumvirate Bold
at an extra charge on this vehicle. Ask for details c & lc maximum line
as to coverage, deductable, price, and exclusions. If 42 picas
you buy a service contract within 90 days of the time
of sale, state law “implied warranties” may give you
additional rights.
PRE PURCHASE INSPECTION: ASK THE DEALER IF YOU MAY HAVE 10/10 Triumvirate Bold
THIS VEHICLE INSPECTED BY YOUR MECHANIC EITHER ON OR caps flush left
OFF THE LOT. ragged right maximum
line 42 picas
SEE THE BACK OF THIS FORM for important additional 10/10 Triumvirate Bold
information, including a list of some major defects c & lc flush left
that may occur in used motor vehicles. ragged right maximum
line 42 picas
12 pt Triumvirate Bold
lc flush left ragged
lc flush left ragged
right maximum line
42 picas
Below is a list of some major defects that may occur in
used motor vehicles.
——————————————————–
2 pt Rule
8/9 Triumvirate Bold c
& lc flush left
ragged right maximum
line 20 picas 1 em
indent on 2nd line
Frame & Body Brake System
Frame-cracks, corrective Failure warning light
welds, or rusted broken
through
Dogtracks-bent or twisted Pedal not firm under
frame pressure (DOT spec.)
Not enough pedal reserve
(DOT spec.)
Engine Does not stop vehicle in
straight (DOT spec.)
Oil leakage, excluding Hoses damaged
normal seepage
Cracked block or head Drum or rotor too thin
(Mfgr. Specs)
Belts missing or Lining or pad thickness
inoperable less than 1/32 inch
Knocks or misses related Power unit not operating
to camshaft lifters and or leaking
push rods
Abnormal exhaust Structural or mechanical
discharge parts damaged
Transmission & Drive Shaft Steering System
Improper fluid level or Too much free play at
leakage, excluding steering wheel (DOT
normal seepage specs.)
Free play in linkage more
than 1/4 inch
Cracked or damaged case Steering gear binds or
which is visible jams
Abnormal noise or Front wheels aligned
vibration caused by improperly (DOT specs.)
faulty transmission or
drive shaft
Improper shifting or Power unit belts cracked
functioning in any gear or slipping
Manual clutch slips or Power unit fluid level
chatters improper
Differential Suspension System
Improper fluid level or Ball joint seals damaged
leakage excluding
normal seepage
Cracked or damaged Structural parts bent or
housing which is damaged
visible
Abnormal noise or Stabilizer bar
vibration caused by disconnected
faulty differential
Spring broken
Shock absorber mounting
loose
Rubber bushings damaged
or missing
Radius rod damaged or
missing
Shock absorber leaking or
functioning improperly
Cooling System
Leakage including
radiator
Improperly functioning
water pump
Electrical System Tires
Tread depth less than
2/32 inch
Battery leakage Sizes mismatched
Improperly functioning Visible damage
alternator, generator,
battery, or starter
Fuel System Wheels
Visible leakage Visible cracks, damage or
repairs
Mounting bolts loose or
missing
Inoperable Accessories Exhaust System
Gauges or warning devices Leakage
Air conditioner
Heater & Defroster
2 pt Rule
——————————————————–
________________________________________________________ 10 pt Baseline Rule
DEALER 6 pt Triumvirate Bold
caps
________________________________________________________
ADDRESS
________________________________________________________
________________________________________________________
SEE FOR COMPLAINTS
2 pt Rule
——————————————————–
IMPORTANT: The information on this form is part of any 10/12 Triumvirate Bold
contract to buy this vehicle. Removal of this label c & lc maximum line
before consumer purchase (except for purpose of 42 picas
test-driving) is a violation of federal law (16 C.F.R.
455).
When filling out the form, follow the directions in (b) through (e) of this section and s 455.4 of this part.
(b) Warranties–
(1) No Implied Warranty–“As Is”/No Warranty.
(i) If you offer the vehicle without any implied warranty, i.e., “as is,” mark the box provided. If you offer the vehicle with implied warranties only, substitute the disclosure specified below, and mark the box provided. If you first offer the vehicle “as is” or with implied warranties only but then sell it with a warranty, cross out the “As Is–No Warranty” or “Implied Warranties Only” disclosure, and fill in the warranty terms in accordance with paragraph (b)(2) of this section.
(ii) If your state law limits or prohibits “as is” sales of vehicles, that state law overrides this part and this rule does not give you the right to
sell “as is.” In such states, the heading “As Is–No Warranty” and the paragraph immediately accompanying that phrase must be deleted from the form, and the following heading and paragraph must be substituted. If you sell vehicles in states that permit “as is” sales, but you choose to offer implied warranties only, you must also use the following disclosure instead of “As Is– No Warranty”: [FN1]
[FN1] See s 455.5 n. 4 for the Spanish version of this disclosure.
Implied Warranties Only
This means that the dealer does not make any specific promises to fix things that need repair when you buy the vehicle or after the time of sale. But, state law “implied warranties” may give you some rights to have the dealer take care of serious problems that were not apparent when you bought the vehicle.
(2) Full/Limited Warranty. If you offer the vehicle with a warranty, briefly describe the warranty terms in the space provided. This description must include the following warranty information:
(i) Whether the warranty offered is “Full” or “Limited.” [FN2] Mark the box
next to the appropriate designation.
[FN2] A “Full” warranty is defined by the Federal Minimum Standards for Warranty set forth in 104 of the Magnuson-Moss Warranty Act, 15 U.S.C. 2304 (1975). The Magnuson-Moss Warranty Act does not apply to vehicles manufactured before July 4, 1975. Therefore, if you choose not to designate “Full” or “Limited” for such cars, cross out both designations, leaving only “Warranty”.
(ii) Which of the specific systems are covered (for example, “engine, transmission, differential”). You cannot use shorthand, such as “drive train” or “power train” for covered systems.
(iii) The duration (for example, “30 days or 1,000 miles, whichever occurs first”).
(iv) The percentage of the repair cost paid by you (for example, “The dealer will pay 100% of the labor and 100% of the parts.”
(v) If the vehicle is still under the manufacturer’s original warranty, you may add the following paragraph below the “Full/Limited Warranty” disclosure: MANUFACTURER’S WARRANTY STILL APPLIES. The manufacturer’s original warranty has not expired on the vehicle. Consult the manufacturer’s warranty booklet
for details as to warranty coverage, service location, etc.
If, following negotiations, you and the buyer agree to changes in the warranty coverage, mark the changes on the form, as appropriate. If you first offer the vehicle with a warranty, but then sell it without one, cross out the offered warranty and mark either the “As Is–No Warranty” box or the “Implied Warranties Only” box, as appropriate.
(3) Service contracts. If you make a service contract (other than a contract that is regulated in your state as the business of insurance) available on the vehicle, you must add the following heading and paragraph below the “Full/Limited Warranty” disclosure and mark the box provided. [FN3]
[FN3] See s 455.5 n. 4 for the Spanish version of this disclosure.
( ) Service Contract
A service contract is available at an extra charge on this vehicle. If you buy a service contract within 90 days of the time of sale, state law “implied warranties” may give you additional rights.
(c) Name and Address. Put the name and address of your dealership in the space provided. If you do not have a dealership, use the name and address of your
place of business (for example, your service station) or your own name and home address.
(d) Make, Model, Model Year, VIN. Put the vehicle’s name (for example, “Chevrolet”), model (for example, “Vega”), model year, and Vehicle Identification Number (VIN) in the spaces provided. You may write the dealer stock number in the space provided or you may leave this space blank.
(e) Complaints. In the space provided, put the name and telephone number of the person who should be contacted if any complaints arise after sale.
(f) Optional Signature Line. In the space provided for the name of the individual to be contacted in the event of complaints after sale, you may include a signature line for a buyer’s signature. If you opt to include a signature line, you must include a disclosure in immediate proximity to the signature line stating: “I hereby acknowledge receipt of the Buyers Guide at the closing of this sale.” You may pre-print this language on the form if you choose.
[60 FR 62205, Dec. 5, 1995]
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.2
16 CFR s 455.2
END
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.3 Window form.
(a) Form given to buyer. Give the buyer of a used vehicle sold by you the window form displayed under s 455.2 containing all of the disclosures required by the Rule and reflecting the warranty coverage agreed upon. If you prefer, you may give the buyer a copy of the original, so long as that copy accurately reflects all of the disclosures required by the Rule and the warranty coverage agreed upon.
(b) Incorporated into contract. The information on the final version of the window form is incorporated into the contract of sale for each used vehicle you sell to a consumer. Information on the window form overrides any contrary
provisions in the contract of sale. To inform the consumer of these facts, include the following language conspicuously in each consumer contract of sale:
The information you see on the window form for this vehicle is part of this contract. Information on the window form overrides any contrary provisions in the contract of sale.
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.3
16 CFR s 455.3
END OF DOCUMENT
16 C.F.R. s 455.4
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.4 Contrary statements.
You may not make any statements, oral or written, or take other actions which alter or contradict the disclosures required by ss 455.2 and 455.3. You may negotiate over warranty coverage, as provided in s 455.2(b) of this part, as long as the final warranty terms are identified in the contract of sale and summarized on the copy of the window form you give to the buyer.
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15
U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.4
16 CFR s 455.4
END OF DOCUMENT
16 C.F.R. s 455.5
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.5 Spanish language sales.
If you conduct a sale in Spanish, the window form required by s 455.2 and the contract disclosures required by s 455.3 must be in that language. You may display on a vehicle both an English language window form and a Spanish language translation of that form. Use the following translation and layout for Spanish language sales: [FN4]
[FN4] Use the following language for the “Implied Warranties Only” disclosure when required by s 455.2(b)(1):
Garantias implicitas solamente
Este termino significa que el vendedor no hace promesas especificas de arreglar lo que requiera reparacion cuando usted compra el vehiculo o despues del momento de la venta. Pero, las “garantias implicitas” de la ley estatal pueden darle a usted algunos derechos y hacer que el vendedor resuelva problemas graves que no fueron evidentes cuando usted compro el vehiculo.
Use the following language for the “Service Contract” disclosure required by s 455.2(b)(3):
CONTRATO DE SERVICIO. Este vehiculo tiene disponible un contrato de servicio a un precio adicional. Pida los detalles en cuanto a cobertura, deducible, precio y exclusiones. Si adquiere usted un contrato de servicio dentro de los 90 dias del momento de la venta, las “garantias implicitas”
de acuerdo a la ley del estado pueden concederle derechos adicionales.
GUIA DEL COMPRADOR 28 pt Triumvirate Bold
caps
2 pt Rule
——————————————————-
IMPORTANTE: Las promeses verbales son dificiles de 10/10 Triumvirate Bold
hacer cumplir. Solicite al vendedor que ponga todas c & lc maximum line
las promeses por escrito. Conserve este formulario. 38 picas
____________________ __________ _________ __________ Hairline Rule
MARCA DEL VEHICULO MODELO ANO NUMERO DE 6/8 pt Triumvirate
IDENTI- Bold caps
FICACION
___________________________________________ Hairline Rule
NUMERO DE ABASTO DEL DISTRIBUIDOR 6/8 pt Triumvirate
(Opcional) Bold caps
GARANTIAS PARA ESTE VEHICULO: 10 pt Triumvirate Bold
caps
2 pt Rule
——————————————————-
[ ] COMO ESTA-SIN GARANTIA 28 pt Box
24 pt Triumvirate Bold
c & lc
USTED PAGARA TODOS LOS GASTOS DE CUALQUIER REPARACION 10/10 Triumvirate Bold
QUE SEA NECESARIA. El vendedor no asume ninguna c & lc maximum line
responsabilidad por cualquier reparacion, sean cuales 38 picas
sean las declaraciones verbales que haya hecho acerca
del vehiculo.
1 pt Rule
——————————————————-
[ ] GARANTIA 28 pt Box
24 pt Triumvirate Bold
c & lc
[ ] COMPLETA [ ] LIMITADA. El vendedor pagara el 10/10 Triumvirate Bold
_____% de la mano de obra y el c & lc 7 1/2 picas
_____% de los repuestos de los indent on runovers
sistemos cubiertos que dejen de
funcionar durante el periodo de
garantia. Pida al vendedor una
copia del documento de garantia
donde se explican
detalladamente la cobertura de
le garantia, exclusiones y las
obligaciones que tiene el
vendedor de realizar
reparaciones. Conforme a la ley
estatal, las “garantias
implicitas” pueden darle a
usted incluso mas derechos.
SISTEMAS CUBIERTOS POR LA DURACION: 10/10 Triumvirate Bold
GARANTIA: caps
10/12 Hairline Rule
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
________________________________ _____________________
CONTRATO DE SERVICIO. Este vehiculo tiene disponible un 10/10 Triumvirate Bold
contrato de servicio a un precio adicional. Pida los c & lc maximum line
detalles en cuanto a cobertura, deducible, precio y 38 picas
exclusiones. Si adquiere usted un contrato de
servicio dentro de los 90 dias del momento de la
venta, las ‘garantias implicitas’ de acuerdo a la ley
del estado pueden concederle derechos adicionales.
INSPECCION PREVIA A LA COMPRA: PREGUNTE AL VENDEDOR SI 10/10 Triumvirate Bold
PUEDE USTED TRAER UN MECANICO PARA QUE INSPECCIONE EL caps maximum line 38
AUTOMOVIL O LLEVAR EL AUTOMOVIL PARA QUE ESTE LO picas
INSPECCIONE EN SU TALLER.
VEASE EL DORSO DE ESTE FORMULARIO donde se proporciona 10/10 Triumvirate Bold
informacion adicional importante, incluyendo una c & lc maxiumum line
lista de algunos de los principales defectos que 38 picas
pueden ocurrir en vehiculos usados.
A continuacion presentamos una lista de algunos de los 12 pt Triumvirate Bold
principales defectos que pueden ocurrir en vehiculos lc flush left ragged
usados. right maximum line
42 picas
2 pt Rule
——————————————————–
8/9 Triumvirate Bold c
& lc flush left
ragged right maximum
line 20 picas 1 em
indent on 2nd line
Chasis y carroceria Sistema de frenos
Chasis-grietas, Luz de advertencia de
soldaduras correctivas falla danada
u oxidado
Chasis dobiado o torcido Pedal no firma bajo
presion (Especif. del
Dpto de Transp.)
Juego insuficiente en el
pedal (Especif. del
Dpto de Transp.)
No detiene el vehiculo en
linea recta (Especif.
del Dpto de Transp.)
Motor
Fuga de aceite, Conductos danados
excluyendo el escape
normal
Bloque o tapa de recamara Tambor o disco muy
agrietados delgados (Especif. del
fabricante)
Correas que faltan o no Grosor de las bandas de
funcionan los frenos menor de
1/32 de pulgada
Fallo o pistoneo Sistema de servofreno
danado o con escape
Emision excesiva de humo Partes estructurales o
por el sistema de mecanicas danadas
escape
Transmision y eje de cardan Sistema de direccion
Nivel di liquido Juego excesivo en el
inadecuado o fuga, volante (Especif. Dpto.
excluyendo filtracion de Transp.)
normal
Cubierta agrietada o Juego en el varillaje en
danada visible exceso de 1/4 pulgada
Vibracion o ruido anormal Engranaje del volante de
ocasion do por una direccion se agarrota
transmision o eje de
cardan defectuoso
Ruedas delanteras mal
alineadas (Especif. del
Dpto. de Transp.)
Cambio de marchas o Correas del sistema de
funcionmiento servodireccion
inadecuado en cualquier agrietadas o flojas
marcha
Embrague manual patina o Nival del liquido del
vibra sistema de
serviodireccion
inadecuado
Diferencial Sistema de suspension
Sellos de conexion de
rodamientos defectuosos
Nivel de liquido Piezas estructurales
inadecuado o fuga dobiadas o danadas
excluyendo filtracion
normal
Cubierta agrietada o Barra de estabilizacion
danada visible desconectada
Ruido o vibracion anormal Resorte roto
ocasionado por
diferencial defectuoso
Montura del amortiguador
floja
Sistema de refrigeracion Bujes de goma danadas o
ausentes
Fuga, incluido el Estabilizador para curvas
radiador danadas o ausente
Bomba de agua defectuosa Amortiguador tiene fuga o
funciona
defectuosamente
Sistema electrico Llantas
Fuga en las baterias Profundidad de la banda
de rodamiento menor de
2/32 de pulgada
Alternador, generador, Diferentes tamanos de
bateria, o motor de llanta
arranque defectuosos
Danos visibles
Sistema de combustible
Escape visible de Ruedas
combustible
Grietas visibles, danos o
reparaciones
Accesorios averiados Pernos de montaje sueltos
o ausentes
Indicadores o medidores
del cuadro de
instrumentos
Acondicionador de aire Sistema de Escape
Calefactor y descarchador Fuga
2 pt Rule
——————————————————–
________________________________________________________ 10 pt Baseline Rule
VENDEDOR 6 pt Triumvirate Bold
caps
________________________________________________________
DIRECCION
________________________________________________________
________________________________________________________
VEASE PARA RECLAMACIONES
2 pt Rule
——————————————————–
IMPORTANTE: La informacion contenida en este formulario 10/12 Triumvirate Bold
forma parte de todo contrato de compra de este c & lc maximum line
vehiculo. Constituye una contravencion de la ley 42 picas
federal (16 C.F.R. 455) quitar este rotulo antes de la
compra del vehiculo por el consumidor (salvo para
conducir el automovil en calidad de prueba).
[60 FR 62205, Dec. 5, 1995]
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.5
16 CFR s 455.5
END
16 C.F.R. s 455.6
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.6 State exemptions.
(a) If, upon application to the Commission by an appropriate state agency, the Commission determines, that–
(1) There is a state requirement in effect which applies to any transaction to which this rule applies; and
(2) That state requirement affords an overall level of protection to consumers which is as great as, or greater than, the protection afforded by this Rule; then the Commission’s Rule will not be in effect in that state to the extent specified by the Commission in its determination, for as long as the State administers and enforces effectively the state requirement.
(b) Applications for exemption under Subsection (a) should be directed to the Secretary of the Commission. When appropriate, proceedings will be commenced in order to make a determination described in paragraph (a) of this section, and will be conducted in accordance with Subpart C of Part 1 of the Commission’s Rules of Practice.
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.6
16 CFR s 455.6
END
16 C.F.R. s 455.7
> CODE OF FEDERAL REGULATIONS
> TITLE 16–COMMERCIAL PRACTICES
> CHAPTER I–FEDERAL TRADE COMMISSION
> SUBCHAPTER D–TRADE REGULATION RULES
> PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE
Current through January 1, 1997; 61 FR 69366
> s 455.7 Severability.
The provisions of this part are separate and severable from one another. If any provision is determined to be invalid, it is the Commission’s intention that the remaining provisions shall continue in effect.
<<PART 455–USED MOTOR VEHICLE TRADE REGULATION RULE>>
Authority: 88 Stat. 2189, 15 U.S.C. 2309; 38 Stat. 717, as amended 15 U.S.C. 41 et seq.
Source: 49 FR 45725, Nov. 19, 1984, unless otherwise noted.
16 C. F. R. s 455.7
16 CFR s 455.7
END OF DOCUMENT
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.1
16 CFR s 701.1
END OF DOCUMENT
16 C.F.R. s 701.1
> 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 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS
Current through January 1, 1997; 61 FR 69366
> s 701.1 Definitions.
(a) “The Act” means the Magnuson-Moss Warranty Federal Trade Commission Improvement Act, 15 U.S.C. 2301, et seq.
(b) “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. Products which are purchased solely for commercial or industrial
use are excluded solely for purposes of this Part.
(c) “Written warranty” means:
(1) 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
(2) 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.
(d) “Implied warranty” means an implied warranty arising under State law (as modified by secs. 104(a) and 108 of the Act) in connection with the sale by a supplier of a consumer product.
(e) “Remedy” means whichever of the following actions the warrantor elects:
(1) Repair,
(2) Replacement, or
(3) 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.
(f) “Supplier” means any person engaged in the business of making a consumer product directly or indirectly available to consumers.
(g) “Warrantor” means any supplier or other person who gives or offers to give a written warranty.
(h) “Consumer” means a buyer (other than for purposes of resale or use in the ordinary course of the buyer’s business) of any consumer product, any person to whom such product is transferred during the duration of an implied or written warranty applicable to the product, and any other such person who is entitled by the terms of such warranty or under applicable State law to enforce against the warrantor the obligations of the warranty.
(i) “On the face of the warranty” means:
(1) Where the warranty is a single sheet with printing on both sides of the sheet or where the warranty is comprised of more than one sheet, the page on which the warranty text begins;
(2) Where the warranty is included as part of a larger document, such as a use and care manual, the page in such document on which the warranty text begins.
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.1
16 CFR s 701.1
END
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.2
16 CFR s 701.2
END OF DOCUMENT
16 C.F.R. s 701.2
> 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 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS
Current through January 1, 1997; 61 FR 69366
> s 701.2 Scope.
The regulations in this part establish requirements for warrantors for disclosing the terms and conditions of written warranties on consumer products actually costing the consumer more than $15.00.
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.2
16 CFR s 701.2
END
16 C.F.R. s 701.3
> 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 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS
Current through January 1, 1997; 61 FR 69366
> s 701.3 Written warranty terms.
(a) Any warrantor warranting to a consumer by means of a written warranty a consumer product actually costing the consumer more than $15.00 shall clearly and conspicuously disclose in a single document in simple and readily understood language, the following items of information:
(1) The identity of the party or parties to whom the written warranty is extended, if the enforceability of the written warranty is limited to the original consumer purchaser or is otherwise limited to persons other than every
consumer owner during the term of the warranty;
(2) A clear description and identification of products, or parts, or characteristics, or components or properties covered by and where necessary for clarification, excluded from the warranty;
(3) A statement of what the warrantor will do in the event of a defect, malfunction or failure to conform with the written warranty, including the items or services the warrantor will pay for or provide, and, where necessary for clarification, those which the warrantor will not pay for or provide;
(4) The point in time or event on which the warranty term commences, if different from the purchase date, and the time period or other measurement of warranty duration;
(5) A step-by-step explanation of the procedure which the consumer should follow in order to obtain performance of any warranty obligation, including the persons or class of persons authorized to perform warranty obligations. This includes the name(s) of the warrantor(s), together with: the mailing address(es) of the warrantor(s), and/or the name or title and the address of any employee or department of the warrantor responsible for the performance of warranty obligations, and/or a telephone number which consumers may use without charge to obtain information on warranty performance;
(6) Information respecting the availability of any informal dispute settlement
mechanism elected by the warrantor in compliance with Part 703 of this subchapter;
(7) Any limitations on the duration of implied warranties, disclosed on the face of the warranty as provided in Section 108 of the Act, accompanied by the following statement:
Some states do not allow limitations on how long an implied warranty lasts, so the above limitation may not apply to you.
(8) Any exclusions of or limitations on relief such as incidental or consequential damages, accompanied by the following statement, which may be combined with the statement required in paragraph (a)(7) of this section:
Some states do not allow the exclusion or limitation of incidental or consequential damages, so the above limitation or exclusion may not apply to you.
(9) A statement in the following language:
This warranty gives you specific legal rights, and you may also have other rights which vary from state to state.
(b) Paragraph (a)(1)-(9) of this section shall not be applicable with respect
to statements of general policy on emblems, seals or insignias issued by third parties promising replacement or refund if a consumer product is defective, which statements contain no representation or assurance of the quality or performance characteristics of the product; Provided that (1) the disclosures required by paragraph (a)(1)-(9) of this section are published by such third parties in each issue of a publication with a general circulation, and (2) such disclosures are provided free of charge to any consumer upon written request.
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.3
16 CFR s 701.3
END
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.4
16 CFR s 701.4
END OF DOCUMENT
16 C.F.R. s 701.4
> 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 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS
Current through January 1, 1997; 61 FR 69366
> s 701.4 Owner registration cards.
When a warrantor employs any card such as an owner’s registration card, a warranty registration card, or the like, and the return of such card is a condition precedent to warranty coverage and performance, the warrantor shall disclose this fact in the warranty. If the return of such card reasonably appears to be a condition precedent to warranty coverage and performance, but is not such a condition, that fact shall be disclosed in the warranty.
<<PART 701–DISCLOSURE OF WRITTEN CONSUMER PRODUCT WARRANTY TERMS AND
CONDITIONS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60188, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 701.4
16 CFR s 701.4
END
[52 FR 7574, March 12, 1987]
<<PART 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60189, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 702.1
16 CFR s 702.1
END OF DOCUMENT
16 C.F.R. s 702.1
> 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 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS
Current through January 1, 1997; 61 FR 69366
> s 702.1 Definitions.
(a) “The Act” means the Magnuson-Moss Warranty Federal Trade Commission Improvement Act, 15 U.S.C. 2301, et seq.
(b) “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). Products which are purchased solely for commercial or industrial use are excluded solely for purposes of this Part.
(c) “Written warranty” means–
(1) 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
(2) 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.
(d) “Warrantor” means any supplier or other person who gives or offers to give a written warranty.
(e) “Seller” means any person who sells or offers for sale for purposes other than resale or use in the ordinary course of the buyer’s business any consumer product.
(f) “Supplier” means any person engaged in the business of making a consumer product directly or indirectly available to consumers.
[52 FR 7574, March 12, 1987]
<<PART 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60189, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 702.1
16 CFR s 702.1
END
Source: 40 FR 60189, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 702.2
16 CFR s 702.2
END OF DOCUMENT
16 C.F.R. s 702.2
> 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 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS
Current through January 1, 1997; 61 FR 69366
> s 702.2 Scope.
The regulations in this part establish requirements for sellers and warrantors for making the terms of any written warranty on a consumer product available to the consumer prior to sale.
<<PART 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60189, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 702.2
16 CFR s 702.2
END
16 C. F. R. s 702.3
16 CFR s 702.3
END OF DOCUMENT
16 C.F.R. s 702.3
> 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 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS
Current through January 1, 1997; 61 FR 69366
> s 702.3 Pre-sale availability of written warranty terms.
The following requirements apply to consumer products actually costing the consumer more than $15.00:
(a) Duties of Seller: Except as provided in paragraphs (c) through (d) of this section, the seller of a consumer product with a written warranty shall make a text of the warranty readily available for examination by the prospective buyer by:
(1) Displaying it in close proximity to the warranted product, or
(2) Furnishing it upon request prior to sale and placing signs reasonably
calculated to elicit the prospective buyer’s attention in prominent locations in the store or department advising such prospective buyers of the availability of warranties upon request.
(b) Duties of the warrantor.
(1) A warrantor who gives a written warranty warranting to a consumer a consumer product actually costing the consumer more than $15.00 shall:
(i) Provide sellers with warranty materials necessary for such sellers to comply with the requirements set forth in paragraph (a) of this section, by the use of one or more by the following means:
(A) Providing a copy of the written warranty with every warranted consumer product; and/or
(B) Providing a tag, sign, sticker, label, decal or other attachment to the product, which contains the full text of the written warranty; and/or
(C) Printing on or otherwise attaching the text of the written warranty to the package, carton, or other container if that package, carton or other container is normally used for display purposes. If the warrantor elects this option a copy of the written warranty must also accompany the warranted product; and/or
(D) Providing a notice, sign, or poster disclosing the text of a consumer product warranty. If the warrantor elects this option, a copy of the written warranty must also accompany each warranted product.
(ii) Provide catalog, mail order, and door-to-door sellers with copies of written warranties necessary for such sellers to comply with the requirements set forth in paragraphs (c) and (d) of this section.
(2) Paragraph (a)(1) of this section shall not be applicable with respect to statements of general policy on emblems, seals or insignias issued by third parties promising replacement or refund if a consumer product is defective, which statements contain no representation or assurance of the quality or performance characteristics of the product; provided that
(i) The disclosures required by 701.3(a)(1)-(9) of this part are published by such third parties in each issue of a publication with a general circulation, and
(ii) Such disclosures are provided free of charge to any consumer upon written request.
(c) Catalog and Mail Order Sales.
(1) For purposes of this paragraph:
(i) “Catalog or mail order sales”, means any offer for sale, or any solicitation for an order for a consumer product with a written warranty, which includes instructions for ordering the product which do not require a personal visit to the seller’s establishment.
(ii) “Close conjunction” means on the page containing the description of the
warranted product, or on the page facing that page.
(2) Any seller who offers for sale to consumers consumer products with written warranties by means of a catalog or mail order solicitation shall:
(i) Clearly and conspicuously disclose in such catalog or solicitation in close conjunction to the description of warranted product, or in an information section of the catalog or solicitation clearly referenced, including a page number, in close conjunction to the description of the warranted product, either:
(A) The full text of the written warranty; or
(B) That the written warranty can be obtained free upon specific written request, and the address where such warranty can be obtained. If this option is elected, such seller shall promptly provide a copy of any written warranty requested by the consumer.
(d) Door-to-door sales.
(1) For purposes of this paragraph:
(i) “Door-to-door sale” means a sale of consumer products in which the seller or his representative personally solicits the sale, including those in response to or following an invitation by a buyer, and the buyer’s agreement to offer to purchase is made at a place other than the place of business of the seller.
(ii) “Prospective buyer” means an individual solicited by a door-to-door
seller to buy a consumer product who indicates sufficient interest in that consumer product or maintains sufficient contact with the seller for the seller reasonably to conclude that the person solicited is considering purchasing the product.
(2) Any seller who offers for sale to consumers consumer products with written warranties by means of door-to-door sales shall, prior to the consummation of the sale, disclose the fact that the sales representative has copies of the warranties for the warranted products being offered for sale, which may be inspected by the prospective buyer at any time during the sales presentation. Such disclosure shall be made orally and shall be included in any written materials shown to prospective buyers.
[52 FR 7574, March 12, 1987]
<<PART 702–PRE-SALE AVAILABILITY OF WRITTEN WARRANTY TERMS>>
Authority: 15 U.S.C. 2302 and 2309.
Source: 40 FR 60189, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 702.3
16 CFR s 702.3
END
16 CFR s 702.3
duration of a written warranty applicable to the product, and any other person who is entitled by the terms of such warranty or under applicable state law to enforce against the warrantor the obligations of the warranty.
(h) “On the face of the warranty” means:
(1) If the warranty is a single sheet with printing on both sides of the sheet, or if the warranty is comprised of more than one sheet, the page on which the warranty text begins;
(2) If the warranty is included as part of a longer document, such as a use and care manual, the page in such document on which the warranty text begins.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.1
16 CFR s 703.1
END OF DOCUMENT
16 C.F.R. s 703.1
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
Current through January 1, 1997; 61 FR 69366
> s 703.1 Definitions.
(a) “The Act” means the Magnuson-Moss Warranty–Federal Trade Commission Improvement Act, 15 U.S.C. 2301, et seq.
(b) “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).
(c) “Written warranty” means:
(1) 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
(2) 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.
(d) “Warrantor” means any person who gives or offers to give a written warranty which incorporates an informal dispute settlement mechanism.
(e) “Mechanism” means an informal dispute settlement procedure which is incorporated into the terms of a written warranty to which any provision of Title I of the Act applies, as provided in Section 110 of the Act.
(f) “Members” means the person or persons within a Mechanism actually deciding disputes.
(g) “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 a written warranty applicable to the product, and any other person who is entitled by the terms of such warranty or under applicable state law to enforce against the warrantor the obligations of the warranty.
(h) “On the face of the warranty” means:
(1) If the warranty is a single sheet with printing on both sides of the sheet, or if the warranty is comprised of more than one sheet, the page on which the warranty text begins;
(2) If the warranty is included as part of a longer document, such as a use and care manual, the page in such document on which the warranty text begins.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.1
16 CFR s 703.1
END
(2) Upon notification of any decision of the Mechanism that would require action on the part of the warrantor, immediately notify the Mechanism whether, and to what extent, warrantor will abide by the decision; and
(3) Perform any obligations it has agreed to.
(g) The warrantor shall act in good faith in determining whether, and to what extent, it will abide by a Mechanism decision.
(h) The warrantor shall comply with any reasonable requirements imposed by the Mechanism to fairly and expeditiously resolve warranty disputes.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.2
16 CFR s 703.2
END OF DOCUMENT
16 C.F.R. s 703.2
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
Current through January 1, 1997; 61 FR 69366
> s 703.2 Duties of warrantor.
(a) The warrantor shall not incorporate into the terms of a written warranty a Mechanism that fails to comply with the requirements contained in ss 703.3- 703.8 of this part. This paragraph shall not prohibit a warrantor from incorporating into the terms of a written warranty the step-by-step procedure which the consumer should take in order to obtain performance of any obligation under the warranty as described in section 102(a)(7) of the Act and required by Part 701 of this subchapter.
(b) The warrantor shall disclose clearly and conspicuously at least the
following information on the face of the written warranty:
(1) A statement of the availability of the informal dispute settlement mechanism;
(2) The name and address of the Mechanism, or the name and a telephone number of the Mechanism which consumers may use without charge;
(3) A statement of any requirement that the consumer resort to the Mechanism before exercising rights or seeking remedies created by Title I of the Act; together with the disclosure that if a consumer chooses to seek redress by pursuing rights and remedies not created by Title I of the Act, resort to the Mechanism would not be required by any provision of the Act; and
(4) A statement, if applicable, indicating where further information on the Mechanism can be found in materials accompanying the product, as provided in s 703.2(c) of this section.
(c) The warrantor shall include in the written warranty or in a separate section of materials accompanying the product, the following information:
(1) Either (i) A form addressed to the Mechanism containing spaces requesting the information which the Mechanism may require for prompt resolution of warranty disputes; or (ii) A telephone number of the Mechanism which consumers may use without charge;
(2) The name and address of the Mechanism;
(3) A brief description of Mechanism procedures;
(4) The time limits adhered to by the Mechanism; and
(5) The types of information which the Mechanism may require for prompt resolution of warranty disputes.
(d) The warrantor shall take steps reasonably calculated to make consumers aware of the Mechanism’s existence at the time consumers experience warranty disputes. Nothing contained in paragraphs (b), (c), or (d) of this section shall limit the warrantor’s option to encourage consumers to seek redress directly from the warrantor as long as the warrantor does not expressly require consumers to seek redress directly from the warrantor. The warrantor shall proceed fairly and expeditiously to attempt to resolve all disputes submitted directly to the warrantor.
(e) Whenever a dispute is submitted directly to the warrantor, the warrantor shall, within a reasonable time, decide whether, and to what extent, it will satisfy the consumer, and inform the consumer of its decision. In its notification to the consumer of its decision, the warrantor shall include the information required in s 703.2(b) and (c) of this section.
(f) The warrantor shall:
(1) Respond fully and promptly to reasonable requests by the Mechanism for information relating to disputes;
(2) Upon notification of any decision of the Mechanism that would require action on the part of the warrantor, immediately notify the Mechanism whether, and to what extent, warrantor will abide by the decision; and
(3) Perform any obligations it has agreed to.
(g) The warrantor shall act in good faith in determining whether, and to what extent, it will abide by a Mechanism decision.
(h) The warrantor shall comply with any reasonable requirements imposed by the Mechanism to fairly and expeditiously resolve warranty disputes.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.2
16 CFR s 703.2
END
16 CFR s 703.2
are not influenced by either the warrantor or the sponsor. Necessary steps shall include, at a minimum, committing funds in advance, basing personnel decisions solely on merit, and not assigning conflicting warrantor or sponsor duties to Mechanism staff persons.
(c) The Mechanism shall impose any other reasonable requirements necessary to ensure that the members and staff act fairly and expeditiously in each dispute.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.3
16 CFR s 703.3
END OF DOCUMENT
16 C.F.R. s 703.3
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
> MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.3 Mechanism organization.
(a) The Mechanism shall be funded and competently staffed at a level sufficient to ensure fair and expeditious resolution of all disputes, and shall not charge consumers any fee for use of the Mechanism.
(b) The warrantor and the sponsor of the Mechanism (if other than the warrantor) shall take all steps necessary to ensure that the Mechanism, and its members and staff, are sufficiently insulated from the warrantor and the sponsor, so that the decisions of the members and the performance of the staff
are not influenced by either the warrantor or the sponsor. Necessary steps shall include, at a minimum, committing funds in advance, basing personnel decisions solely on merit, and not assigning conflicting warrantor or sponsor duties to Mechanism staff persons.
(c) The Mechanism shall impose any other reasonable requirements necessary to ensure that the members and staff act fairly and expeditiously in each dispute.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.3
16 CFR s 703.3
END
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.4
16 CFR s 703.4
END OF DOCUMENT
16 C.F.R. s 703.4
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
> MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.4 Qualification of members.
(a) No member deciding a dispute shall be:
(1) A party to the dispute, or an employee or agent of a party other than for purposes of deciding disputes; or
(2) A person who is or may become a party in any legal action, including but not limited to class actions, relating to the product or complaint in dispute, or an employee or agent of such person other than for purposes of deciding disputes. For purposes of this paragraph (a) a person shall not be considered
a “party” solely because he or she acquires or owns an interest in a party solely for investment, and the acquisition or ownership of an interest which is offered to the general public shall be prima facie evidence of its acquisition or ownership solely for investment.
(b) When one or two members are deciding a dispute, all shall be persons having no direct involvement in the manufacture, distribution, sale or service of any product. When three or more members are deciding a dispute, at least two-thirds shall be persons having no direct involvement in the manufacture, distribution, sale or service of any product. “Direct involvement” shall not include acquiring or owning an interest solely for investment, and the acquisition or ownership of an interest which is offered to the general public shall be prima facie evidence of its acquisition or ownership solely for investment. Nothing contained in this section shall prevent the members from consulting with any persons knowledgeable in the technical, commercial or other areas relating to the product which is the subject of the dispute.
(c) Members shall be persons interested in the fair and expeditious settlement of consumer disputes.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
occurs sooner. Except that, if the Mechanism delays performance of its paragraph (d) of this section duties as allowed by paragraph (e) of this section, the requirement that the consumer initially resort to the Mechanism shall not be satisfied until the period of delay allowed by paragraph (e) of this section has ended.
(j) Decisions of the Mechanism shall not be legally binding on any person. However, the warrantor shall act in good faith, as provided in s 703.2(g) of this part. In any civil action arising out of a warranty obligation and relating to a matter considered by the Mechanism, any decision of the Mechanism shall be admissible in evidence, as provided in section 110(a)(3) of the Act.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.5
16 CFR s 703.5
END OF DOCUMENT
16 C.F.R. s 703.5
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
> MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.5 Operation of the Mechanism.
(a) The Mechanism shall establish written operating procedures which shall include at least those items specified in paragraphs (b)-(j) of this section. Copies of the written procedures shall be made available to any person upon request.
(b) Upon notification of a dispute, the Mechanism shall immediately inform both the warrantor and the consumer of receipt of the dispute.
(c) The Mechanism shall investigate, gather and organize all information
necessary for a fair and expeditious decision in each dispute. When any evidence gathered by or submitted to the Mechanism raises issues relating to the number of repair attempts, the length of repair periods, the possibility of unreasonable use of the product, or any other issues relevant in light of Title I of the Act (or rules thereunder), including issues relating to consequential damages, or any other remedy under the Act (or rules thereunder), the Mechanism shall investigate these issues. When information which will or may be used in the decision, submitted by one party, or a consultant under s 703.4(b) of this part, or any other source tends to contradict facts submitted by the other party, the Mechanism shall clearly, accurately, and completely disclose to both parties the contradictory information (and its source) and shall provide both parties an opportunity to explain or rebut the information and to submit additional materials. The Mechanism shall not require any information not reasonably necessary to decide the dispute.
(d) If the dispute has not been settled, the Mechanism shall, as expeditiously as possible but at least within 40 days of notification of the dispute, except as provided in paragraph (e) of this section:
(1) Render a fair decision based on the information gathered as described in paragraph (c) of this section, and on any information submitted at an oral presentation which conforms to the requirements of paragraph (f) of this
section (A decision shall include any remedies appropriate under the circumstances, including repair, replacement, refund, reimbursement for expenses, compensation for damages, and any other remedies available under the written warranty or the Act (or rules thereunder); and a decision shall state a specified reasonable time for performance);
(2) Disclose to the warrantor its decision and the reasons therefor;
(3) If the decision would require action on the part of the warrantor, determine whether, and to what extent, warrantor will abide by its decision; and
(4) Disclose to the consumer its decision, the reasons therefor, warrantor’s intended actions (if the decision would require action on the part of the warrantor), and the information described in paragraph (g) of this section. For purposes of this paragraph (d) a dispute shall be deemed settled when the Mechanism has ascertained from the consumer that:
(i) The dispute has been settled to the consumer’s satisfaction; and (ii) the settlement contains a specified reasonable time for performance.
(e) The Mechanism may delay the performance of its duties under paragraph (d) of this section beyond the 40 day time limit:
(1) Where the period of delay is due solely to failure of a consumer to provide promptly his or her name and address, brand name and model number of
the product involved, and a statement as to the nature of the defect or other complaint; or
(2) For a 7 day period in those cases where the consumer has made no attempt to seek redress directly from the warrantor.
(f) The Mechanism may allow an oral presentation by a party to a dispute (or a party’s representative) only if:
(1) Both warrantor and consumer expressly agree to the presentation;
(2) Prior to agreement the Mechanism fully discloses to the consumer the following information:
(i) That the presentation by either party will take place only if both parties so agree, but that if they agree, and one party fails to appear at the agreed upon time and place, the presentation by the other party may still be allowed;
(ii) That the members will decide the dispute whether or not an oral presentation is made;
(iii) The proposed date, time and place for the presentation; and
(iv) A brief description of what will occur at the presentation including, if applicable, parties’ rights to bring witnesses and/or counsel; and
(3) Each party has the right to be present during the other party’s oral presentation. Nothing contained in this paragraph (b) of this section shall preclude the Mechanism from allowing an oral presentation by one party, if the
other party fails to appear at the agreed upon time and place, as long as all of the requirements of this paragraph have been satisfied.
(g) The Mechanism shall inform the consumer, at the time of disclosure required in paragraph (d) of this section that:
(1) If he or she is dissatisfied with its decision or warrantor’s intended actions, or eventual performance, legal remedies, including use of small claims court, may be pursued;
(2) The Mechanism’s decision is admissible in evidence as provided in section 110(a)(3) of the Act; and
(3) The consumer may obtain, at reasonable cost, copies of all Mechanism records relating to the consumer’s dispute.
(h) If the warrantor has agreed to perform any obligations, either as part of a settlement agreed to after notification to the Mechanism of the dispute or as a result of a decision under paragraph (d) of this section, the Mechanism shall ascertain from the consumer within 10 working days of the date for performance whether performance has occurred.
(i) A requirement that a consumer resort to the Mechanism prior to commencement of an action under section 110(d) of the Act shall be satisfied 40 days after notification to the Mechanism of the dispute or when the Mechanism completes all of its duties under paragraph (d) of this section, whichever
occurs sooner. Except that, if the Mechanism delays performance of its paragraph (d) of this section duties as allowed by paragraph (e) of this section, the requirement that the consumer initially resort to the Mechanism shall not be satisfied until the period of delay allowed by paragraph (e) of this section has ended.
(j) Decisions of the Mechanism shall not be legally binding on any person. However, the warrantor shall act in good faith, as provided in s 703.2(g) of this part. In any civil action arising out of a warranty obligation and relating to a matter considered by the Mechanism, any decision of the Mechanism shall be admissible in evidence, as provided in section 110(a)(3) of the Act.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.5
16 CFR s 703.5
END
(9) Decision delayed beyond 40 days under s 703.5(e)(1) of this part;
(10) Decision delayed beyond 40 days under s 703.5(e)(2) of this part;
(11) Decision delayed beyond 40 days for any other reason; and
(12) Pending decision.
(f) The Mechanism shall retain all records specified in paragraphs (a)-(e) of this section for at least 4 years after final disposition of the dispute.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.6
16 CFR s 703.6
END OF DOCUMENT
16 C.F.R. s 703.6
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
> MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.6 Recordkeeping.
(a) The Mechanism shall maintain records on each dispute referred to it which shall include:
(1) Name, address and telephone number of the consumer;
(2) Name, address, telephone number and contact person of the warrantor;
(3) Brand name and model number of the product involved;
(4) The date of receipt of the dispute and the date of disclosure to the consumer of the decision;
(5) All letters or other written documents submitted by either party;
(6) All other evidence collected by the Mechanism relating to the dispute, including summaries of relevant and material portions of telephone calls and meetings between the Mechanism and any other person (including consultants described in s 703.4(b) of this part);
(7) A summary of any relevant and material information presented by either party at an oral presentation;
(8) The decision of the members including information as to date, time and place of meeting, and the identity of members voting; or information on any other resolution;
(9) A copy of the disclosure to the parties of the decision;
(10) A statement of the warrantor’s intended action(s);
(11) Copies of follow-up letters (or summaries of relevant and material portions of follow-up telephone calls) to the consumer, and responses thereto; and
(12) Any other documents and communications (or summaries of relevant and material portions of oral communications) relating to the dispute.
(b) The Mechanism shall maintain an index of each warrantor’s disputes grouped under brand name and sub-grouped under product model.
(c) The Mechanism shall maintain an index for each warrantor as will show:
(1) All disputes in which the warrantor has promised some performance (either by settlement or in response to a Mechanism decision) and has failed to comply; and
(2) All disputes in which the warrantor has refused to abide by a Mechanism decision.
(d) The Mechanism shall maintain an index as will show all disputes delayed beyond 40 days.
(e) The Mechanism shall compile semi-annually and maintain statistics which show the number and percent of disputes in each of the following categories:
(1) Resolved by staff of the Mechanism and warrantor has complied;
(2) Resolved by staff of the Mechanism, time for compliance has occurred, and warrantor has not complied;
(3) Resolved by staff of the Mechanism and time for compliance has not yet occurred;
(4) Decided by members and warrantor has complied;
(5) Decided by members, time for compliance has occurred, and warrantor has not complied;
(6) Decided by members and time for compliance has not yet occurred;
(7) Decided by members adverse to the consumer;
(8) No jurisdiction;
(9) Decision delayed beyond 40 days under s 703.5(e)(1) of this part;
(10) Decision delayed beyond 40 days under s 703.5(e)(2) of this part;
(11) Decision delayed beyond 40 days for any other reason; and
(12) Pending decision.
(f) The Mechanism shall retain all records specified in paragraphs (a)-(e) of this section for at least 4 years after final disposition of the dispute.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.6
16 CFR s 703.6
END
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.7
16 CFR s 703.7
END OF DOCUMENT
16 C.F.R. s 703.7
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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.7 Audits.
(a) The Mechanism shall have an audit conducted at least annually, to determine whether the Mechanism and its implementation are in compliance with this part. All records of the Mechanism required to be kept under s 703.6 of this part shall be available for audit.
(b) Each audit provided for in paragraph (a) of this section shall include at a minimum the following:
(1) Evaluation of warrantors’ efforts to make consumers aware of the
Mechanism’s existence as required in s 703.2(d) of this part;
(2) Review of the indexes maintained pursuant to s 703.6(b), (c), and (d) of this part; and
(3) Analysis of a random sample of disputes handled by the Mechanism to determine the following:
(i) Adequacy of the Mechanism’s complaint and other forms, investigation, mediation and follow-up efforts, and other aspects of complaint handling; and
(ii) Accuracy of the Mechanism’s statistical compilations under s 703.6(e) of this part. (For purposes of this subparagraph “analysis” shall include oral or written contact with the consumers involved in each of the disputes in the random sample.)
(c) A report of each audit under this section shall be submitted to the Federal Trade Commission, and shall be made available to any person at reasonable cost. The Mechanism may direct its auditor to delete names of parties to disputes, and identity of products involved, from the audit report.
(d) Auditors shall be selected by the Mechanism. No auditor may be involved with the Mechanism as a warrantor, sponsor or member, or employee or agent thereof, other than for purposes of the audit.
> 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 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES
> MINIMUM REQUIREMENTS OF THE MECHANISM
Current through January 1, 1997; 61 FR 69366
> s 703.8 Openness of records and proceedings.
(a) The statistical summaries specified in s 703.6(e) of this part shall be available to any person for inspection and copying.
(b) Except as provided under paragraphs (a) and (e) of this section, and paragraph (c) of s 703.7 of this part, all records of the Mechanism may be kept confidential, or made available only on such terms and conditions, or in such form, as the Mechanism shall permit.
(c) The policy of the Mechanism with respect to records made available at the
Mechanism’s option shall be set out in the procedures under s 703.5(a) of this part; the policy shall be applied uniformly to all requests for access to or copies of such records.
(d) Meetings of the members to hear and decide disputes shall be open to observers on reasonable and nondiscriminatory terms. The identity of the parties and products involved in disputes need not be disclosed at meetings.
(e) Upon request the Mechanism shall provide to either party to a dispute:
(1) Access to all records relating to the dispute; and
(2) Copies of any records relating to the dispute, at reasonable cost.
(f) The Mechanism shall make available to any person upon request, information relating to the qualifications of Mechanism staff and members.
<<PART 703–INFORMAL DISPUTE SETTLEMENT PROCEDURES>>
Authority: 15 U.S.C. 2309 and 2310.
Source: 40 FR 60215, Dec. 31, 1975, unless otherwise noted.
16 C. F. R. s 703.8
16 CFR s 703.8
END