Home > West's Encyclopedia of American Law > Magnuson-Moss Warranty Act

The Magnuson-Moss Warranty–Federal Trade Commission Improvement Act was the first federal statute to address the law of WARRANTY. The act (15 U.S.C.A. § 2301 et seq.) mandates that a written warranty on any consumer product that costs more than $5 must completely and conspicuously disclose, in easily understood words, the terms and conditions of the warranty. A warranty may guarantee several things, such as that the item will perform in a certain way or that the manufacturer will repair or replace the item if it is defective.

The act was sponsored by Senators Warren G. Magnuson and Frank E. Moss. Congress passed the act in 1975. Its purpose was to improve the information available to consumers, prevent deception, and improve competition in the marketing of consumer products, which are defined as property distributed in commerce and actually used for personal,...