I. Warranty Reimbursement Statutory Mandates
A. Overview
State motor vehicle dealer laws very closely regulate the structure of warranty repairs performed by authorized dealership, as well as the reimbursement manufacturers or OEMs owe to such dealers for performing warranty repairs. These regulations are not unique to the motor vehicle industry, and are also found in dealer laws regulating agricultural equipment, construction equipment, outdoor power equipment, powersports products, and others.
State dealer laws almost uniformly contain anti-waiver provisions. These ensure that warranty reimbursement requirements apply, notwithstanding the terms of a written dealership agreement. These sregulations also typically cover recall repairs. Such requirements are separate and distinct from statutory or contractual obligations to pay for preparation and delivery, or pre-delivery inspection, of vehicles.