OLR Bill Analysis

sSB 821 (File 204, as amended by Senate "A")*

AN ACT CONCERNING ROOFING, WINDOW AND SIDING CONSUMER WARRANTIES AND POST-SALE WARRANTY WORK REIMBURSEMENT FOR POWER EQUIPMENT DEALERS.

SUMMARY

This bill (1) sets certain payment conditions and time frames for warranties on residential roofing, windows, and siding and (2) specifies that the warranty claims for farm, forestry, yard, and garden equipment include parts and hourly labor rates and prohibits suppliers from denying a warranty claim based on certain minor errors.

*Senate Amendment “A” (1) eliminates the underlying bill's warranty payment and time frame requirements for roofing, window, and siding suppliers and (2) adds the provision prohibiting farm, forestry, yard, and garden equipment suppliers from denying a warranty claim based on certain minor errors.

EFFECTIVE DATE: January 1, 2018

ROOFING, WINDOW, AND SIDING CONSUMER WARRANTY

The bill requires manufacturers of residential roofing, window, or siding material who offer a consumer warranty for such material to pay any claim made for materials and labor under the warranty within 30 days after they receive and approve the claim.

The manufacturer must approve or disapprove a claim within 30 days after receiving the claim. If a claim is not disapproved in writing by the 30th day after receipt, it is deemed to be approved and the manufacturer must pay the claim within 30 days after that.

Under the bill, a manufacturer that pays such a consumer warranty must pay the consumer the full price for any materials and the hourly labor rate the consumer was charged, provided the consumer provides the price and rate in writing and the total amount payable for the claim must be equal to or less than the amount the consumer paid for the original purchase and installation.

FARM, FORESTRY, YARD, AND GARDEN EQUIPMENT WARRANTY

By law, for farm, forestry, yard, and garden equipment warranties under a dealer agreement with a supplier, the supplier must pay any warranty claim made for parts and services within 30 days after it receives and approves the claim. The bill specifies that the supplier must pay the dealer the full retail price for any parts and the hourly labor rate the dealer charges consumers for non-warranty repair work.

The bill prohibits a supplier from denying a warranty or charging back a claim following a timely audit based solely on the dealer's failure to comply with a claim processing procedure, clerical error, or other administrative technicality as long as it does not call into question the claim's legitimacy. The supplier must allow the dealer to resubmit a denied claim based on reasonable supplier guidelines within 30 days after the initial claim denial or charge-back.

COMMITTEE ACTION

General Law Committee

Joint Favorable Substitute

Yea

17

Nay

0

(03/07/2017)

Appropriations Committee

Joint Favorable

Yea

47

Nay

0

(05/08/2017)