For years, automakers and dealerships have threatened to deny warranties to consumers who have modified their vehicles with aftermarket parts. However, the Magnuson-Moss Warranty Act makes it illegal for car manufacturers to void consumer warranties or deny coverage because an individual installed an aftermarket product versus an original equipment part or service.
There is a push from original equipment manufacturers (OEMs) and dealers to deem that the installation of certain aftermarket products makes them non-compliant and not ineligible under Magnuson-Moss. This ambiguity also allows dealers to deny warranties without written explanation.
Ensuring this law is upheld and protecting against unjust warranty denial is a top priority of SEMA. Congress should direct the FTC to update its regulations and require dealers and automakers to provide customers with a written explanation when they deny warranties and allow consumers to question the finding.