What does the Magnuson-Moss Warranty Act require, and what does it not cover?

The Magnuson-Moss Warranty Act is the main federal law on product warranties. It covers written warranties on consumer products. It does not require a business to offer one, and a service contract is a different thing. This page explains the pieces in plain terms.

The short answer

What it is: the FTC calls it "the federal law that governs consumer product warranties," passed by Congress in 1975.¹
What it covers: only written warranties on consumer products. It does not apply to oral warranties, to warranties on services alone, or to products sold for resale or commercial use.¹
What it does not require: "the Act does not require any business to provide a written warranty." Once a business offers one, it must follow the Act.¹
Service contracts are different: the FTC says warranties "come with a product and are included in the purchase price," while a service contract is a separate agreement.¹ It calls home warranties "really service contracts."⁶

The Act in one paragraph

A warranty is a promise to stand behind a product. The Act applies when a business gives a written warranty on a consumer product. A consumer product is tangible personal property normally used for personal, family or household purposes.² The Act sits in federal law at 15 U.S.C. 2301 and the sections after it.³ The FTC wrote rules under the Act. Three are described here: Part 701 (disclosure), Part 702 (pre-sale availability) and Part 703 (dispute settlement).¹

What the Act requires of a written warranty

The FTC's guide says the Act and its rules set three basic requirements for a business that gives a written warranty.¹

Title it "full" or "limited." This applies to written warranties on consumer products costing more than $10.¹
State the coverage terms in a single, clear, easy-to-read document. This is the FTC's disclosure rule, and it applies to products costing more than $15.¹
Make the warranty available before sale so consumers can read it before buying. This is the pre-sale availability rule, and it also applies to products costing more than $15.¹

Our guides explain two of these in detail: full vs. limited labels and reading a warranty before you buy. In short, Part 702 says a seller must display the warranty text near the product, or give it to you on request before sale and post signs saying it is available.³

What the Act does not allow

Three things the Act does not allow, as the FTC guide describes them
What is not allowed	What the FTC guide says
Disclaiming or modifying implied warranties (Section 108)	The Act prohibits anyone who offers a written warranty from disclaiming or modifying implied warranties. A "limited" written warranty may restrict their duration to the duration of the limited warranty.¹
"Tie-in" provisions (Section 102(c))	Generally not allowed: provisions that state or imply a consumer must buy or use an item or service from a particular company to keep warranty coverage. A warrantor can require specific items or services if they are provided free of charge under the warranty, or if the FTC grants a waiver.¹
Deceptive terms (Section 110(c)(2))	"Warranties must not contain deceptive or misleading terms."¹

What the Act does not cover

It does not require a written warranty. "The Act does not require any business to provide a written warranty."¹
Oral promises. "The Act does not apply to oral warranties. Only written warranties are covered."¹
Services alone. "Only warranties on goods are covered." But if a warranty covers both the parts for a repair and the workmanship, the Act applies.¹
Resale and commercial products. The Act "does not apply to warranties on products sold for resale or for commercial purposes."¹
Parts of a building. The FTC's rule on covered products includes separate equipment attached to a home, "such as air conditioners, furnaces, and water heaters." It says this does not extend to "the wiring, plumbing, ducts, and other items which are integral component parts of the structure." When a consumer contracts with a builder to construct a home, the building materials "are not consumer products."²
Service contracts. See the next section.

Warranties and service contracts are different things

The FTC's guide says "Warranties come with a product and are included in the purchase price." A service contract is an optional agreement, separate from the sale of the product.¹ The guide says service contracts are "not required to be titled 'full' or 'limited,' or to contain the special standard disclosures." The Act does require the maker of a service contract to list all terms and conditions conspicuously, "in simple and readily understood language."¹

For vehicles, the FTC says "An auto service contract or extended warranty is not a warranty as defined by federal law, because you buy it separately."⁵ For homes, it says "home warranties" are "really service contracts."⁶ Our guides on extended vs. manufacturer warranties and how home warranties work cover the consequences. The state laws that govern service contracts are in our state-by-state guides.

Implied warranties and lawsuits

An implied warranty is an unwritten promise created by state law. The guide says the Act prohibits anyone who offers a written warranty from disclaiming or modifying implied warranties. One change is allowed: a "limited" written warranty may restrict the duration of implied warranties to the duration of the limited warranty.¹

The guide says the Act makes it easier for buyers to sue for breach of warranty, by making breach of warranty a violation of federal law and allowing recovery of court costs and reasonable attorneys' fees.¹ Our guide on suing under the Act sets out what the statute says.

Dispute settlement under Part 703

A warranty can require you to try an informal dispute settlement process before suing under the Act. If it does, the process must meet Part 703.¹ Part 703 says the process must be funded and staffed to resolve disputes fairly and quickly, and may not charge consumers a fee.⁴ If the dispute has not been settled, it must render a decision "as expeditiously as possible but at least within 40 days of notification of the dispute." The rule allows limited extensions, for example where the consumer has not supplied needed information.⁴ The warranty must say, on its face, if you must use the process first, and that choosing other remedies not created by the Act does not require using it.⁴ See our guide on the federal dispute-settlement rule.

Where this fits in our standard

Point 1 of our standard asks whether contract terms and exclusions are available in plain language before purchase. The Register shows how we check providers. It describes a method, not a recommendation of any company.

How to verify this yourself

Read the FTC's Businessperson's Guide (reference 1). It cites the Act's sections and the FTC rules, and is written for businesses.¹
Read 16 CFR 700.1, Part 702 and Part 703 on the eCFR (references 2 to 4). The eCFR shows the current text and the date it was last updated.
Read the Act itself at uscode.house.gov, Title 15, chapter 50 (sections 2301 to 2312).
For a state's service contract law, use your state consumer protection office. The USAGov directory lists them.

What this page is not

This is general information, not legal advice. It summarises FTC guidance written for businesses and the text of FTC rules. It does not apply the Act to your facts or say whether a claim would succeed. State law also matters, and it differs by state.

What to do next

If you hold a written warranty, find three things in it: the "full" or "limited" label, the list of what is covered, and the dispute-settlement statement if it has one. Then read about full vs. limited warranties or go back to the home warranty hub.

Last reviewed 3 October 2026. General information from the cited primary sources; not legal advice.