Ch.24 : Warranty

what is puffing?

exaggerated statement or advertisement about durability or reliability of a product ex: this is a fantastic used car

Breached:

failing to cover a warranty. Ex: If the seller does not live up to the warranty the contract has been breached.

Limited Warranty:

protection less than a full warranty.

what does the Magnuson Moss Warranty Act require written warranties to do?

1. Disclose all essential terms and condition in a single document 2. Stated in simple easy to read languages 3. be available to consumer before sale 4. Does not apply to products that cost $15 or less

What is the purpose of a warranty?:

1. Gives the consumer important rights. 2. To be aware of the warranty of time of purchase. 3. Not all warranties are the same 4. Compare warranties when shopping 5. Consider duration and what's covered

what is an express warranty?

A statement that is written, oral, or by a demonstration of the quality or performance of goods offered at the time of the sale.

When evaluating warranty you should:

Consider how long the warranty lasts. Consider what parts or problems are covered or excluded Consider what the consumer gets under the warranty

what has to be labeled under the Magnuson-Moss Warranty Act?

Full warranty: 1. A defective product will be fixed or replaced at no cost 2. Consumer will not have to do anything unreasonable (pay for shipping etc.) 3. If product cannot be fixed consumer will get a refund or replacement 4. It applies to anyone who owns the product during the warranty period *Anything less than this is called a limited warranty. Usually covers just parts and not labor

Full warranty:

It covers everything and anyone during the period of the warranty period. The best warranty

What can a warranty have?:

May contain a statement of what the seller will do if there is a problem. Ex: Cover parts and labor

What is a warranty?:

a promise or guarantee made by a seller about the quality or performance of goods for sale.

what is the best type of warranty to get?

written

if you get a demonstration of an item, does it count as an express warranty?

yes because you are expecting the product to do what they showed you

does the seller's statement make a warranty?

yes unless an opinion ex: you will not need to repair this tv for 5 years - warranty ex: this is the best tv ever - not warranty (opinion)