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Statutes Text

Article - Commercial Law


    (a)    (1)    In this section the following terms have the meanings indicated.

        (2)    “Consumer goods” means any new goods used for personal, family, or household purposes where:

            (i)    The purchaser of the goods has entered into an agreement to purchase an extended warranty on the goods purchased; and

            (ii)    The actual cash sales price of the goods paid by the purchaser is in excess of $50.

        (3)    “Consumer goods” includes household appliances.

        (4)    “Extended warranty” means a written warranty that:

            (i)    Covers consumer goods offered for sale by a guarantor or manufacturer;

            (ii)    Includes terms or conditions beyond those offered in any express warranty originally included as part of the contract of sale for the consumer goods; and

            (iii)    Is purchased at the time of the sale of the consumer goods.

        (5)    “Guarantor” means a person who:

            (i)    Is engaged in the business of making consumer products available to consumers; and

            (ii)    Makes a warranty.

        (6)    “Manufacturer” includes a manufacturer, its agent, or its authorized dealer.

    (b)    Any extended warranty sold by a guarantor or manufacturer to a purchaser of consumer goods may not supersede any original express warranty and shall be offered in addition to the original express warranty.

    (c)    This section applies only to an agreement to purchase an extended warranty which is executed on or after July 1, 1984.

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