FTC Targets Harley-Davidson, Westinghouse Over Warranty Terms -- Update
June 23 2022 - 1:06PM
Dow Jones News
By Dean Seal
The Federal Trade Commission filed administrative complaints
against Harley-Davidson Inc. and the company that sells
Westinghouse-brand power products for voiding warranties when
customers use independent dealers for parts and repairs.
The consumer protection watchdog said Thursday that
Harley-Davidson and MWE Investments LLC, the operator of
Westinghouse Outdoor Power Equipment, have agreed to settle claims
that they used warranties to illegally restrict customers' rights
to repair their purchased products.
The FTC further alleged that Harley-Davidson failed to fully
disclose the terms of its warranty in a single document, forcing
consumers to contact an authorized dealership if they wanted to
know the full extent of their coverage.
The agency said it is ordering the companies to remove those
terms from their warranties and clearly state that using
third-party parts or repair services won't void their
warranties.
Samuel Levine, head of the FTC's Bureau of Consumer Protection,
said the consent orders require the companies to "come clean with
consumers and ensure fair competition with independent
providers."
"Other companies that squelch consumers' right to repair should
take notice," he said Thursday.
An attorney for MWE Investments said the company worked
cooperatively with the FTC.
"MWE Investments thanks the FTC for agreeing to include specific
language in the decision and order that recognizes the critical
importance of portable generator safety systems," the company
said.
Harley Davidson didn't respond to a request for comment
Thursday.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
June 23, 2022 12:51 ET (16:51 GMT)
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