Harley Davidson Hit With Two New ‘Warranty Lawsuits’
California and Wisconsin file two separate lawsuits relating to Harley Davidson warranties.
You might remember that it was only in June that the Federal Trade Commission took action against Harley Davidson for essentially forcing customers to use HD parts and services if they wanted to keep their warranties intact.
Apparently, the lawyers were lurking because now, the company has been hit with two class-action lawsuits seeking to collect damages related to that federal ruling.
The motorcycle maker agreed to abide by the FTC ruling in June that it not block warranty coverage to those owners who wanted to use third-party parts or services.
State Laws Broken?
Even though the FTC ruled against Harley, the government agency does not have the power to recover damages for Harley owners who were affected.
A class-action lawsuit does allow one or more plaintiffs to sue for damages on behalf of a larger group.
The two separate lawsuits claim Harley also broke state laws, in addition to the federal Magnuson Moss Warranty Act. They claim HD is in violation of anti-competitive laws in California and antitrust laws in Wisconsin.
‘Commanded Higher Prices’
In the Wisconsin case, the suit seeks to recover damages for consumers who bought new Harley Davidson motorcycles with applicable warranties from Aug 1, 2018 up until the present.
The suit alleges Harley’s “loyal following” was forced to buy Harley Davidson “overpriced” parts in order to maintain their warranties.
“Harley Davidson has kept a larger share of the parts market for itself, and commanded higher prices for its repair parts, because it has used its warranty to unlawfully force Harley owners to use its own branded parts,” the Wisconsin suit says.
‘Breach of Warranty’
The California suit is brought by a man named Scott Koller of Brentwood California on behalf of himself and “anyone who bought a Harley Davidson motorcycle in the United States,” as well as a California subclass.
It, too, is based on the FTC June ruling. Koller is suing for breach of warranty and violations of state consumer laws.
“Harley Davidson does not permit customers to choose how they repair and maintain their motorcycles,” the suit claims in part.
Read the Fine Print
In the June consent agreement, the Motor Company was ordered to send and post notices telling customers their warranties will stay in effect even if they buy formerly forbidden aftermarket parts or get their bikes repaired at independent shops.
Even though the agreement between Harley Davidson and the FTC clarified the “right to repair” laws, it did not close all the loopholes.
It does prevent the Motor Company from denying warranty coverage to owners who may have installed non-Harley aftermarket parts or used independent repair shops, but if the Motor Company says those third-party parts or services are the cause of the breakdown, all bets are off.
“…If those unauthorized parts or indie shops were found to be the reason the bike broke, well then, those Harley owners would be out of luck,” wrote Jose Rodriguez of Jalopnik. “And who’s the arbiter of those claims? Harley itself. See the problem?”
Photos: Harley Davidson
