Tag Archives: warranty

Moving too fast?

fob

Are things moving a bit too fast with connected cars? Continue reading

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Filed under Risk Management, Warranty

The Redefinition of Warranty

warrdrivessalesOriginally defined as a moral obligation, warranty has evolved into a powerful tool for enhancing the customer experience, which in turn drives sales.   Continue reading

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Filed under Best Practices, Warranty

Legionnaires’ Disease Poses Liability Risk to Product Manufacturers

ldmicro

A recent outbreak in the South Bronx claimed 12 lives, left another 120 victims infected and put Legionnaires’ Disease back in the headlines. Besides being potentially fatal, LD poses a serious product liability and warranty liability risk to the manufacturer of any product that holds or stores water. This group includes manufactures of HVAC equipment, water heaters, water tanks, plumbing fixtures and supplies and companies that include these items in their products, such as mobile home, motorhome and travel trailer makers. But once appreciated the liability risk can be effectively managed. Here are a few things you should know about the disease and some suggestions for managing the liability risk it poses. Continue reading

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Warranty and Service Contract Industry Experts to Meet in Chicago

GWSCA LogoThe 2nd Annual Global Warranty and Service Contract Association Conference is coming to the Chicago Palmer House Hilton Hotel, September 16-18, 2015.

This year’s theme is “Knowledge:  The Profitable Advantage.”

Industry experts and thought leaders from the warranty and service contract business sectors will be there to share insight, analysis and recommendations for improving all aspects of warranty and service contract operations. Continue reading

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Warranty in Practice – Can a company use warranty to help drive sales?

Warrantycar

Can a company use warranty to help drive sales? It sure can. Just ask Hyundai Motors. It saw its market share jump from 1.1% to 4% after it extended its powertrain warranty in 1999. You might also want to put the question to Volkswagen, which saw its sales drop 30% in the three years after it shortened its powertrain warranty in 2002. Continue reading

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Filed under Best Practices, Customer Experience, PR & Branding, Warranty

Whirlpool comes out smelling like a rose

whirlpool logo

Yesterday, a federal jury in Cleveland ruled for Whirlpool Corp. in a warranty-based class action involving allegedly defective front-loading washing machines. As discussed in an earlier post, the case had been up and down to the Supreme Court, and given the Court’s recent class action rulings, that was it was allowed to proceed to trial was rather unexpected. Continue reading

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Filed under Court Decisions, Warranty

Putting the customer first drives sales … at least KIA Australia thinks so

Kia AU 777

Competition benefits consumers far more than so-called consumer protection laws and the red-tape they’re wrapped in. The former delivers better quality and service and a lower price, while the latter needlessly drives up costs on both sides of the transaction and keeps seedy lawyers in business. Want proof? Look at what Kia is doing in Australia, and why. Continue reading

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Filed under Customer Experience, PR & Branding

Consumer Reports to consumers: Choose risk or over peace of mind

boxing clip artIn a September 6 piece, Why you should avoid home warranties, Consumer Reports again takes a shot at service contracts. Noting a recent complaint filed by New Jersey regulators against Choice Home Warranty for allegedly making it difficult to obtain benefits, CR “recommend[s] avoiding service contracts” because those “that cover homes and cars, for example, can cost hundreds of dollars.” But what if the car or home costs many thousands of dollars? Isn’t spending a few hundred bucks on a service contract worth it to minimize risk and secure peace of mind? “No,” says CR, “it makes much more sense to buy reliable products and maintain them as the manufacturer recommends.” Now it’s clear, just buy things that won’t malfunction or fail. Continue reading

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Filed under Customer Experience, Resolving Disputes, Risk Management, Service Contract, Warranty

Odds and ends in the world of warranty

notes Some interesting notes about the goings on in the warranty business. Continue reading

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Filed under Customer Experience, Service Contract, Warranty

Case Note: Court puts the brakes on implied warranty claims

brake rotor

“Merchantability” is one of those legal terms-of-art that defies precise definition. Courts ruling on implied warranty of merchantability claims generally frame the question as whether the product was “reasonably fit for its intended purpose.” But what any given jury will find to be “reasonable” is anyone’s guess. So better for the defendant that the case never get to the jury. I think Chrysler might agree. Continue reading

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Filed under Court Decisions, Resolving Disputes, Statutes & Regulations, Warranty