FTC asked to clarify warranty misrepresentations

WASHINGTON (Oct. 29, 2014) — Sen. Richard Blumenthal, D-Conn., is urging the Federal Trade Commission (FTC) to take a stronger stance against auto makers that are misrepresenting vehicle warranties.

Sen. Blumenthal charges that some car makers have implied their warranties would be null and void if motorists have their vehicles serviced anywhere except a franchised auto dealership.

In an Oct. 21 letter to the FTC, Sen. Blumenthal called upon the commission to update its interpretations of the Magnuson-Moss Warranty Act (MMWA), which delineates what the agency considers acceptable in a vehicle warranty.

“Manufacturers should be expressly advised that the MMWA prohibits any conduct that would lead a reasonable consumer to believe that his or her warranty coverage depends on the use of a particular brand of product or service,” he wrote.

Sen. Blumenthal noted in his letter that the FTC requested comments three years ago on the interpretation of the MMWA, but has yet to issue any status update since then.

Sen. Blumenthal, a first-term senator but a five-time attorney general in Connecticut, is known for advocating on behalf of consumer protection, environmental stewardship, labor rights and personal privacy, according to his biography.

The Auto Care Association (ACA) praised Sen. Blumenthal's action.

“It is critical that the FTC take action to ensure that car companies stop misleading consumers as to their warranty rights,” said ACA President and CEO Kathleen Schmatz.

“We hope the actions by Sen. Blumenthal and other legislators will move the FTC to immediately respond to the complaints filed by our association to ensure that consumers are properly informed of their rights under the law such that they can maintain their vehicle using non-original equipment parts and service without the threat of voiding their new car warranties.”