February 14, 1991

MRAA Position

MRAA strongly believes that an efficient and effective warranty repair or replacement program that is easily understood by consumers and administered by retailers and manufacturers is in the best interest of the entire marine industry.

Background

Boat owners require reasonably trouble free operation of marine products, including boats, and most important, the timely correction of product problems. We believe prompt quality service is very important to dealers, manufacturers, suppliers, and distributors in building satisfied customers, repeat retail sales, and new markets.

It is clear to MRAA that manufacturers, suppliers, and distributors must accept equal responsibility with marine dealers for the repair or replacement necessary to make the marine components and parts perform to the level advertised by the manufacturer and realistically expected by consumers.

Dealers and manufacturers must agree on respective warranty responsibilities and consumers must become better educated and informed about warranties and their rights. Better Dealer-Manufacturer Agreements which clearly address warranty responsibilities of dealers and manufacturers would serve to clarify many warranty problems.

The members of MRAA take the following positions:

• Authorized dealers are the primary link to consumers for the repair or replacement of manufacturer's products
• Authorized dealers must have the facilities, tools, equipment and trained personnel to make repairs efficiently
• Authorized dealers should not suffer financial losses for handling warranty claims
• Manufacturers and supplier should offer incentives for the rapid, economical repairs of warranty products

MRAA Viewpoints

MRAA believes the implementation of the following recommendations would provide for an efficient and effective warranty repair program that satisfy consumer requirement of reasonably trouble free operation of marine products.

• Warranty labor rates paid by manufacturers and suppliers should be the posted retail labor rate as charged by the authorized dealer.
• Prior approval on warranty work should be required only when the cost of parts and labor exceeds a specified amount.
• Warranty claims should be paid by the manufacturer promptly within 30 days, unless other arrangements have been made in advance.,
• Parts in stock or paid for by the dealer that are used on a warranty repair should be reimbursed by the manufacturer at a reasonable mark up to cover overhead, storage costs, and handling costs.
• All freight. shipping, and handling charges involving warranty parts should be paid for by the manufacturers or suppliers.
• Wherever possible, manufacturers, suppliers, and dealers should use parts that have a 12 month warranty. Parts without a 12 month warranty should be clearly identified to the consumer by the dealer and to the dealer by the manufacturer.
• Defective warranty parts over 30 days old should be either returned to the manufacturer or supplier on a freight collect basis or destroyed