The Magnuson-Moss Warranty Act is the federal backstop to state Lemon Law and DTPA claims. Its four-year statute of limitations and broad consumer protections make it a critical tool when state remedies fall short.
Any tangible personal property distributed in commerce and normally used for personal, family, or household purposes — including motor vehicles.
Compared to 2 years under Texas DTPA — critical when state deadlines have passed.
Damages, equitable relief, and attorney's fees based on actual time expended — paid by the warrantor if the consumer prevails.
The operative sections of the Magnuson-Moss Warranty Act, as they apply to consumer vehicle claims.
Key terms that define who is covered and what obligations apply.
Any tangible personal property distributed in commerce and normally used for personal, family, or household purposes — including property intended to be attached to or installed in real property.
A buyer (other than for resale) of any consumer product, and any person to whom the product is transferred during the duration of an implied or written warranty, or who is entitled by the warranty or applicable state law to enforce the warrantor's obligations.
Any written affirmation of fact or promise made in connection with a sale that relates to the nature of material or workmanship and affirms the product is defect-free or will meet a specified performance level over a specified period — or any written undertaking to refund, repair, replace, or take other remedial action if the product fails to meet stated specifications.
Whichever of the following the warrantor elects: (A) repair, (B) replacement, or (C) refund. The warrantor may not elect refund unless replacement cannot be provided and repair is not commercially practicable, or the consumer agrees to accept the refund.
What a written warranty must disclose — and what warrantors cannot require of consumers.
Any warrantor providing a written warranty must fully and conspicuously disclose its terms in simple, readily understood language. Required disclosures include: the identity of the warrantor and covered parties; products or parts covered; what the warrantor will do in the event of a defect and at whose expense; exceptions and exclusions; the procedure for obtaining performance; and a brief description of available legal remedies.
A warrantor may not condition a written or implied warranty on the consumer's use of any specific branded article or service — unless the FTC grants a waiver on public interest grounds.
The floor below which no warrantor may go on a full warranty.
To meet federal minimum standards, a warrantor must:
Remedy any defect, malfunction, or failure to conform within a reasonable time and without charge.
Not impose any limitation on the duration of any implied warranty on the product.
Not exclude or limit consequential damages for breach unless such exclusion conspicuously appears on the face of the warranty.
If the product contains a defect or malfunction after a reasonable number of repair attempts, permit the consumer to elect either a refund or a replacement without charge.
The warrantor's only defense to these obligations is demonstrating that the defect, malfunction, or failure was caused by damage while in the consumer's possession or by unreasonable use — including failure to perform reasonable and necessary maintenance.
Restrictions on a warrantor's ability to disclaim implied warranty protections.
No supplier may disclaim or modify any implied warranty to a consumer if the supplier makes any written warranty on the product, or enters into a service contract with the consumer within 90 days of sale.
Implied warranties may be limited in duration to the duration of a written warranty of reasonable duration — but only if such limitation is conscionable, set forth in clear and unmistakable language, and prominently displayed on the face of the warranty.
Any disclaimer, modification, or limitation made in violation of this section is automatically ineffective under both federal and state law.
Your right to sue — and your right to recover attorney's fees when you prevail.
A consumer damaged by a supplier's, warrantor's, or service contractor's failure to comply with any obligation under this Act — or under a written warranty, implied warranty, or service contract — may bring suit for damages and other legal and equitable relief in any court of competent jurisdiction.
If the consumer prevails, the court may award a sum equal to the aggregate costs and expenses reasonably incurred in connection with the action, including attorney's fees based on actual time expended.
To bring a claim in federal district court, the individual claim must exceed $25, the total amount in controversy must exceed $50,000 (exclusive of interest and costs), and — if a class action — there must be at least 100 named plaintiffs. State court has no such minimums.
Before filing suit, the warrantor must be given a reasonable opportunity to cure the failure to comply — except in class actions where the informal dispute settlement procedure already applies.
Even if your DTPA window has closed, the Magnuson-Moss Warranty Act may still give us a viable path. Your first call is with an attorney — at no cost to you.
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