Warranties

How to use your product's warranty in small claims court.

Not all cases arising from contracts that come to small claims court have to do with the agreements themselves. Some are disputes about what is supposed to happen after the contract is completed. This takes us into the world of warranties-promises made after the work is done. Simply, a warranty is a promise to stand by one's work. The person who gives it is saying, "My work is good. If you find anything wrong with it, in the next 30 (60, 90) days, then I will make it right." Like the promises that make up contracts, warranties can be express or implied, written or oral. Some are supplied by the law.

In all states in this country, new goods have warranties that go with them when they are sold. There are also federal statutes, the most well-known being the Magnuson-Moss Warranty Act, that apply to all states. These are controlled by state statutes that grant different warranty rights. You may have heard of a "Lemon Law" for new cars, a recent addition to the warranty laws in many states. If you want to know specifically what warranty rights are given to you in your state by law, you can call the consumer affairs office of the secretary of state's office, or any consumer rights organization in your state.

Within the bounds of applicable law, the warranties that you get from a manufacturer can be limited to specific areas of the product and for specific times. When you get a "limited six-year or 60,000-mile power train warranty," it means that this warranty does not cover anything on the car except the power train. "Limited" is the most important word in this warranty. You will not find out what the limitation is unless you read the very fine print in your owner's manual. Warranties on other products appear on the package or in those package inserts we so casually throw away.

New things you buy should work. If an item does not, take it back to the place where you bought it. Do this even if the package insert says, after you retrieve it and uncrumple it, that you must return the goods to the manufacturer.

Most of the time, the merchant will exchange the item for the same model that does work, or refund your money. They do this for two reasons: The law probably requires it, and they do not want to get a reputation in the community for selling shoddy goods. Most merchants care about their reputations in the business community. Those who do not usually do not stay in business very long.

If the merchant refuses to give you an exchange or refund, before you sue, make that call to your local or state consumer affairs office for direction. If you still get no satisfaction, you can sue the seller for your lost purchase price. Remember, the contract is between you and the merchant. You promised to pay money for the goods. He or she promised to give you goods for your money. The warranties that attach are additional promises that the articles will, in fact, be good. You can sue and receive your provable damages if the goods do not meet a reasonable standard of quality.

One caution: If you have a warranty, you must let the merchant try to make it good before you sue. You cannot just throw up your arms in disgust and sue the person for everything he or she's got, though this may be your first strong inclination. If the law gives you a warranty, or secures its enforcement, the law will also place a duty on you to try to first cure the problem yourself.

Warranties on used merchandise are a different story. Unless you received an express warranty (the best kind is in writing), you probably do not have the legal right to complain if the used goods do not work. You can always complain, but you will not have the right to have a court adjust your situation to your satisfaction. Without an express warranty on used goods, you probably do not have a cause of action if they are defective.

The harder cases to win are those where nothing is said about the quality of the goods or what is to happen if the buyer is not satisfied.

For example, Hartley sold his old friend Bob his well-used, well-worn riding lawn mower for $100. The only thing Hartley said was, "It works fine." Bob loaded it onto his pickup truck, took it home, and used it. It worked fine for 20 minutes, and then ground to a howling stop. It was a short ride. Bob thought that he had been taken for a ride. Hartley argued that his friend knew how old the machine was when he bought it, and that he could tell just by looking at it that the mower was used-very used.

Bob lost in my court because there was no warranty given by Hartley. This seller made no promise, express or implied, that the machine would work for 10 minutes, a week, a year, or any time beyond the moment of the sale. There was no evidence that Hartley knew that there was anything wrong with the mower when he sold it. Bob lost his $100. Both of them lost a 30-year friendship. This happens often in matters of principle. It doesn't seem worth it sometimes. Weigh this when considering whether you want to pursue a claim or settle one you have started. Money is just a medium of exchange. Property can be replaced. Friendship can't.

Problems with warranties show up in service contracts all the time. In service contracts, one person promises to pay money to another to perform a service. The person who is to perform the service promises to do so in exchange for the money.

Kevin was a penny-pincher. He wanted his Porsche fixed cheap. He mostly wanted to avoid the $1,200 cost he had been quoted by a dealer for the work he needed done. A co-worker told him about a great mechanic, Mike Auto Services, whose specialty was fixing Porsches evenings and weekends in the barn behind his house. Mike Auto Services' main job was as a professional musician. Kevin gave Mike Auto Services $350 to fix the clutch in the Porsche.

He fixed it, but 10 days later, the clutch burned up. So did Kevin.

Kevin lost his case in small claims court. Mike Auto Services didn't give any kind of warranty, oral or written, promising his work would last. Considering that Kevin knew that Mike Auto Services was not in the auto repair business, and considering what he paid for the job, it looked like he got what he paid for. If Mike Auto Services had been in the auto repair business and had held himself out to the general public as a professional, the judge may have found that his workmanship should be held to a reasonably professional standard, that his work should have lasted more than 10 days. The judge then would have imposed a warranty on him to that extent. This is an example of a warranty that may have been imposed by the law, even though the parties were silent about it.