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May 07, 2018 02:00 AM

TIA, ACA, AOCA praise FTC compliance warning to Hyundai

Tire Business Staff
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    BETHESDA, Md. — The Tire Industry Association (TIA), Auto Care Association (ACA) and Automotive Oil Change Association (AOCA) are praising the Federal Trade Commission (FTC) for its "compliance warning" to Hyundai Motor Co. regarding violations of the Magnuson-Moss Warranty Act.

    The April 9 FTC warning objected to a statement on the Hyundai website that said the use of Hyundai genuine parts is required to keep the manufacturer's warranties and extended warranties intact.

    Such statements are an express violation of Magnuson-Moss, and the FTC told Hyundai it may take legal action if the auto maker continues to make such statements.

    "While AOCA, Auto Care and (TIA) wish that the FTC action had been stronger, we are pleased that the agency has publicly warned the company that it is illegal under the Magnuson-Moss Warranty Act to require the use of a manufacturer part or service in order to maintain a warranty," according to the press release issued on ACA letterhead.

    The associations had filed complaints with the FTC and the National Highway Traffic Safety Administration in 2012 and 2016, the joint press release stated, over Hyundai and Kia Motors' Technical Service Bulletins #114 and #12-EM-006, which directed their dealerships to assume aftermarket oil filters were the cause of any engine knocking noise and to refuse warranty coverage associated with oil system maintenance and repairs.

    The associations said they hoped the FTC warning would serve as a "wake-up call" to vehicle service providers about Magnuson-Moss violations, as well as education to consumers that they can service their vehicles with independent service providers with high-quality replacement parts without losing their warranty rights.

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