MEP EP#286: FTC “Nixing The Fix” Report

<h4><a href="https://macrofab.com/blog/mep-ep286-ftc-nixing-the-fix-report">MEP EP#286: FTC “Nixing The Fix” Report</a><br></h4><h4><a href="https://www.ftc.gov/system/files/documents/reports/nixing-fix-ftc-report-congress-repair-restrictions/nixing_the_fix_report_final_5521_630pm-508_002.pdf" target="_blank" rel="noopener">FTC “Nixing The Fix” Report</a></h4> <p><em>The debate around repair restrictions illustrates the limitations of MMWA’s anti-tying provision in repair markets. While the anti-tying provision gives consumers the right to make repairs on their own or through an independent repair shop without voiding a product’s warranty, repair restrictions have made it difficult for consumers to exercise this right. Although manufacturers have offered numerous explanations for their repair restrictions, the majority are not supported by the record.</em></p> <ul> <li>How manufacturers may limit repairs by consumers and repair shops, and how those limitations may increase costs, limit choice, and impact consumers’ rights under the <a href="https://en.wikipedia.org/wiki/Magnuson%E2%80%93Moss_Warranty_Act" target="_blank" rel="noopener">Magnuson-Moss Warranty Act</a> <ul> <li>The statute is remedial and is intended to protect consumers from deceptive warranty practices<br> Consumer products are not required to have warranties, but if one is given, it must comply with the Magnuson-Moss Act.</li> <li>Defines definitions and disclosure standards</li> <li>Bars manufacturers from using access to warranty coverage as a way of obstructing consumers’ ability to have their consumer products maintained or repaired using third-party replacement parts and independent repair shops.</li> </ul> </li> <li>A manufacturer with <strong>market power</strong> that has refused to provide consumers or aftermarket service providers with key inputs (such as parts, manuals, or diagnostic software and tools) may be subject to antitrust liability for maintaining its monopoly, if the effect of such conduct is to harm competiti