FTC Warns Video Game Companies for Text Regarding Warranty Violations
posted on by Rafael Antonio Pineda
The Federal Trade Commission announced on Tuesday that it issued a warning to six automobile, mobile phone, and video game system companies, with two warnings in particular appearing to point to Sony and Nintendo.
The warning pointed to questionable language in the companies' statements regarding consumers voiding warranties when breaking stickers on the product, or when using parts or products not sold by the companies themselves. The FTC cautioned that such language is prohibited by the Magnuson-Moss Warranty Act, unless the companies themselves provide such parts or services for free, or are waived by the FTC.
Thomas B. Pahl, Acting Director of the FTC's Bureau of Consumer Protection, clarified: "Provisions that tie warranty coverage to the use of particular products or services harm both consumers who pay more for them as well as the small businesses who offer competing products and services."
The FTC asked the companies to review their promotional and warranty materials, and revise their practices to comply with the law. The FTC will review the companies' websites after 30 days, and warned, "failure to correct any potential violations may result in law enforcement action."