Tag Archives: Civil Penalties

16 States Now Levy Significant Civil Penalties For Non-Compliance with Service Contract Acts

Thirty-three states have now enacted statutes regulating service contract providers (i.e., those persons or entities obligated pay claims under a service contracts or extended warranties). Sixteen of these 33 states have specifically provided civil penalties for a failure to comply with their respective service contract acts. A service contract provider can be fined even if the violation of the service contract act is not willful; a violation can be as innocent as failing to include proper disclosures and notices in the service contract or extended warranty. Continue reading

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