Virginia Secret Warranty

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Virginia – Motor Vehicle Manufacturers’ Warranty Adjustment
Act – (59.1-207.34 thru 59.1-207.39)

§ 59.1-207.34. Definitions.

As used in this chapter, unless the context requires a different meaning:

"Adjustment program" means any extended policy program under
which a manufacturer undertakes to pay for all or any part of the cost
of repairing, or to reimburse purchasers for all or any part of the cost
of repairing, any condition that may substantially affect vehicle durability,
reliability or performance, other than service provided under a safety
or emission-related recall program. This term shall not include ad hoc
adjustments made by a manufacturer on a case-by-case basis.

"Board" means the Board of Agriculture and Consumer Services.

"Consumer" means the purchaser, other than for purposes of
resale, or the lessee of a motor vehicle and shall also include any person
to whom such motor vehicle is transferred and any other person entitled
by the terms of adjustment program to enforce its obligations.

"Dealer" means any motor vehicle dealer as defined in §

"Manufacturer" means any person, whether resident or nonresident,
who manufactures, assembles, or imports motor vehicles for sale or distribution
in this Commonwealth.

"Motor vehicle" means any motor vehicle as defined in §
46.2-100, but shall not include any motorcycle or motor home.

(1991, c. 300.)

§ 59.1-207.35. Requirements of manufacturers.

Every manufacturer shall:

1. Inform a consumer of any adjustment program applicable to his motor
vehicle and, upon request, furnish the consumer with any document issued
by a manufacturer pertaining to any adjustment program or to any condition
that may substantially affect vehicle durability, reliability or performance;

2. Notify, by first-class mail, all owners of motor vehicles eligible
under any adjustment program of the condition giving rise to and the principal
terms and conditions of such program within ninety days of the adoption
of the program; and

3. Notify its dealers, in writing, of all the terms and conditions of
any adjustment program within thirty days of its adoption.

(1991, c. 300.)

§ 59.1-207.36. Required disclosures.

A. Every manufacturer or distributor, either directly or through its
authorized agent, shall cause a notice to be given to the consumer which
outlines the provisions of this chapter and the rights and remedies thereunder.
The written notice shall state at minimum: "Sometimes (insert manufacturer’s
name) offers a special adjustment program to pay all or part of the cost
of certain repairs beyond the terms of the warranty. Check with your dealer
to determine whether any adjustment program is applicable to your motor

B. Every dealer shall disclose to a consumer seeking repairs for a particular
condition, the principal terms and conditions of any manufacturer’s adjustment
program covering such condition provided the dealer has been notified
of the adjustment program pursuant to § 59.1-207.35.

(1991, c. 300.)

§ 59.1-207.37. Adjustment program reimbursement.

A. Every manufacturer who establishes any adjustment program shall implement
and follow procedures to ensure reimbursement for each consumer eligible
under any such program who incurred expenses for repair of the condition
subject to the program prior to acquiring knowledge thereof. Such reimbursement
shall be consistent with the terms and conditions of the adjustment program.

B. Any claim for reimbursement pursuant to this section shall be made
in writing to the manufacturer within two years of the date of the consumer’s
payment of repairs for the condition. The manufacturer shall notify the
consumer in writing within twenty-one business days of receiving a claim
for reimbursement whether the claim will be allowed or denied. If the
claim is denied, the specific reasons for such denial shall be stated
in writing.

(1991, c. 300.)

§ 59.1-207.38. Enforcement; penalties.

Any violation of the provisions of this chapter shall constitute a prohibited
practice pursuant to the provisions of § 59.1-200 and shall be subject
to any and all of the enforcement provisions of the Virginia Consumer
Protection Act (§ 59.1-196 et seq.) of this title. Notwithstanding
any other provision to the contrary, it shall not be a violation of this
chapter if the manufacturer within thirty days after the conclusion of
the notice period required by subdivision 2 of § 59.1-207.35, upon
notice from a consumer of the consumer’s eligibility under an adjustment
program, repairs or causes to be repaired the consumer’s motor vehicle
in accordance with the terms and conditions of the adjustment program.

(1991, c. 300; 1996, c. 63.)

§ 59.1-207.39. Regulations.

The Board is authorized to promulgate reasonable regulations in order
to implement the provisions of this chapter. These regulations shall be
adopted, amended, or repealed in accordance with the Administrative Process
Act (§ 2.2-4000 et seq.).

(1991, c. 300.)