CT House Looking at Warranty Bill in Final Days of Session
THE REGULAR LEGISLATIVE SESSION ADJOURNS JUNE 7TH
CT 2017
Passed 1st
Passed 2nd
Enacted
Sponsor:
Summary:
By law, for farm, forestry, yard, and garden equipment warranties, suppliers must pay any warranty claim made for parts and services within 30 days after they receive and approve the claim. The bill specifies that the supplier must pay the dealer the full retail price for any parts and the hourly labor rate the dealer charges consumers for non-warranty repair work for service.
5/17/17 amendments add protections for dealers to allow them to refile warranty claims with suppliers that may have contained incidental mistakes.
5/19/17 . House Calendar Number 531
Favorable Report, Tabled for the Calendar, House
5/17/17 On Consent Calendar
Senate Passed as Amended by Senate Amendment Schedule A
Senate Adopted Senate Amendment Schedule A 6833
Sec. 2. Section 42-351 of the general statutes is repealed and the following is substituted in lieu thereof (Effective January 1, 2018):
(a) Whenever a supplier and a dealer enter into a dealer agreement that provides for consumer warranties, the supplier shall pay any warranty claim made for parts and service not later than thirty days after receipt and approval of such claim by the supplier. The supplier shall approve or disapprove a warranty claim not later than thirty days after receipt of such claim by the supplier. If a warranty claim is not disapproved in writing by the thirtieth day after receipt of such claim by the supplier, it shall be deemed to be approved and payment shall be made by the supplier not later than thirty days thereafter.
(b) A supplier that pays a warranty claim pursuant to subsection (a) of this section shall pay the dealer the full retail price for any parts and the hourly labor rate the dealer charges consumers for nonwarranty repair work for service.
(c) A supplier shall not deny a warranty claim made by a dealer pursuant to subsection (a) of this section or charge-back such a claim following a timely audit based solely on the dealer's failure to comply with a claim processing procedure, a clerical error or other administrative technicality, provided the failure to comply does not call into question the legitimacy of the claim. The supplier shall allow the dealer to resubmit a denied claim according to reasonable supplier guidelines not later than thirty days after the initial claim denial or charge-back."