Hype News: FTC Says Its Illegal For Dealerships To Void Warranties Due To Aftermarket Parts

I just came across this via STILLEN’s Twitter.  The FTC has ruled that it is in fact illegal for dealerships to void the warranty on your car because of installation of aftermarket parts.  Dealerships have to prove that any issue or problems with your car are a direct result of the aftermarket part installed.  And even if they do prove it they can’t void you’re entire warranty because of it just the area of concern.  For example if you install a turbo kit and that kit causes a catastrophic engine failure; the dealership may be able to void your engine warranty but must still cover other areas (transmission, electronics, climate control etc) that are detailed within the warranty.  This is HUGE for the aftermarket as for  years when ever a new tuner worthy car was released most enthusiasts would be afraid to do any modifications at all due to fear of voiding very expensive extended warranties.

Here is a direct quote from the FTC consumer alert:

Will using ‘aftermarket’ parts void my warranty?

No. An ‘aftermarket’ part is a part made by a company other than the vehicle manufacturer or the original equipment manufacturer. Simply using an aftermarket part does not void your warranty. The Magnuson-Moss Warranty Act makes it illegal for companies to void your warranty or deny coverage under the warranty simply because you used an aftermarket part. Still, if it turns out that the aftermarket part was itself defective or wasn’t installed correctly, and it causes damage to another part that is covered under the warranty, the manufacturer or dealer has the right to deny coverage for that part and charge you for any repairs. The FTC says the manufacturer or dealer must show that the aftermarket equipment caused the need for repairs before denying warranty coverage.

Looks like its open season on the GT-R!

[Source: Stillen, FTC, SEMA]

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