At least 6 Tech Companies received Warning Letter from FTC

FTC warned Sony, Nintendo and Microsoft6 companies received letters last month from FTC mentioning that their product warranties were violating the U.S law. Point to be noted that the 1975 Magnuson-Moss Warranty Act has some exceptions. It cancels a warranty and if a customer didn’t use a specific component or unauthorized repair. Now, the FTC summoned 6 companies including Microsoft, Sony, Hyundai, Nintendo, ASUS, and HTC for warranty language. Their warranty requires specific components or services to be used in order to maintain a warranty. The agency didn’t mention which of the companies have received letters sent by FTC. The Motherboard implemented a Freedom of Information Act and discovered that above mentioned 6 companies have received a similar letter.

The letter warned companies that “Warranty language that implies to a consumer acting reasonably under the circumstances that warranty coverage requires the consumer to purchase an article or service identified by brand, trade or corporate name is similarly deceptive and prohibited”. It was also said in the letter that the specific warranty wording discovered is violating the Magnuson-Moss Warranty Act. If we talk about Hyundai, the use of Genuine Parts of the company is required in keeping warranties of Hyundai. The FTC pointed out in the letter sent to Microsoft about wording that warns the user to repair Xbox One only from Microsoft. The letter indicates Sony used words that the warranty of PS4 will be void if the warranty seal is altered.

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