Home News FTC: Do You Think The “Warranty Void If Removed” Is Still Legal?

FTC: Do You Think The “Warranty Void If Removed” Is Still Legal?

written by Tyler May 2, 2018
FTC building

Because it’s not. Under the ‘Magnuson-Moss Warranty Act’, a law that governs consumer product warranties, 6 major companies are getting quite a wordy letter from the FTC (Federal Trade Commission) regarding their actions and treatment of their warranties. Sony, Microsoft, Nintendo, Hyundai, HTC and Asus have all received letters from the FTC with the following:

This letter places you on notice that violations of the Warranty and FTC Acts may result in legal action, FTC investigators have copied and preserved the online pages inquestion, and we plan to review your company’s written warranty and promotional materials after 30 days. You should review the Warranty and FTC Acts and if necessary, revise your practices to comply with the Acts’ requirements. By sending this letter, we do not waive the FTC’s right to take law enforcement action and seek appropriate injunctive and monetary remedies against [company name] based on past or future violations.”

a white Xbox One S, showing the warranty seal the FTC sent letters regarding

It’s not just about the stickers for the FTC!

Yeah, so that sticker on the back of my PS4? Doesn’t mean a thing. The FTC has also noted that when you look at EULA’s (End User License Agreements) and they have words like, “Microsoft is not responsible and this warranty does not apply if your Xbox One or Accessory is…repaired by anyone other than Microsoft.”, that this type of language is also illegal. Not only that, to bully or steer consumers away from third-party repair services is prohibited, despite what companies are currently doing.

What about other companies?

Apple has seemingly skirted the latest bludgeoning from the FTC, and it’s probably because they’re doing the same thing, just in sneakier ways. Apple only has “authorized” third party retailers that they sell official parts to, and they have the ability to make your iPhone stop working, simply because you use after-market parts that aren’t from Apple. Sneaky and sketchy, but they’ve skirted this issue for now.

I mean, may as well go get your gadgets fixed up at a Geek Squad! You only have to worry about CIA spying, anyway.

What say you, geeks? Have you ever cared about that classic sticker on your electronics? Sound off in the comments!

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