Sec. 42-416. Limitation on supplier's disclaimer of implied warranty.
Sec. 42-416. Limitation on supplier's disclaimer of implied warranty. (a) As
used in this section:
(1) "Magnuson-Moss Warranty Act" means 15 USC Sections 2301 to 2312, inclusive, as amended, and includes rules, regulations, statements and interpretations issued
by the Federal Trade Commission under said act.
(2) "Service contract" means a contract in a record to perform, over a fixed period
or for a specified duration, services relating to the maintenance or repair, or both, of
leased goods.
(3) "Supplier" means any person engaged in the business of making leased goods
directly or indirectly available to lessees through consumer leases.
(4) "Written warranty" means:
(A) An affirmation of fact in a record or promise in a record made in connection
with a consumer lease of goods by a supplier to a lessee, which relates to the nature of
the material or workmanship, affirms or promises that the material or workmanship is
defect-free or will meet a specified level of performance over a specified period, and
becomes part of the basis of the bargain between the supplier and the lessee; or
(B) An undertaking in a record in connection with the lease by a supplier of goods
to refund, repair, replace or take other remedial action with respect to the leased goods
if the leased goods fail to meet the specifications set forth in the undertaking, which
becomes part of the basis of the bargain between the supplier and the lessee.
(b) A supplier may not disclaim or, except as otherwise provided in subsection (c)
of this section, modify an implied warranty to a lessee with respect to leased goods if:
(1) The supplier makes a written warranty to the lessee with respect to the leased
goods; or
(2) At the time the lessee signs the lease, or within ninety days thereafter, the supplier
enters into a service contract with the lessee which applies to the leased goods.
(c) Unless a supplier has made a warranty that would qualify as a full warranty
under the Magnuson-Moss Warranty Act if made in connection with a sale of goods,
the supplier may limit the duration of implied warranties to the duration of a written
warranty of reasonable duration, if the limitation is conscionable and conspicuously
displayed on the face of the warranty.
(d) A disclaimer, modification or limitation made in violation of this section is not
enforceable.
(e) A term in a consumer lease that attempts to exclude or modify an implied warranty of merchantability or fitness or to exclude or modify a remedy for breach of such
warranties is not enforceable.
(P.A. 02-81, S. 27.)
History: P.A. 02-81 effective July 1, 2003.