Motorcycle and generator owners in the United States would gain clearer assurances about choosing third-party parts and service under two proposed Federal Trade Commission settlements. Analyses published in the Federal Register on July 5 and 6, 2022 describe remedies for Harley-Davidson and MWE Investments, the company identified in the second matter with Westinghouse outdoor generators. Both proposals would prohibit representations that using third-party parts or service automatically voids a warranty. Neither would make every modification eligible for coverage. [S1][S2]
The FTC alleged that both companies conditioned warranties on authorized parts and accessories. In the Harley-Davidson case, it also alleged that owners had to ask a dealer for a full explanation of coverage rather than receive all material terms in a clear warranty document. MWE Investments is described in its notice as a manufacturer and licensor of the Westinghouse brand for outdoor power equipment; the warranty at issue concerns outdoor generators. These are allegations described in proposed settlements, not adjudicated findings against either company. [S1][S2]
The common remedy targets the connection between warranty coverage and a named supplier. Each proposed order would prohibit conditioning coverage on a branded article or service unless it is supplied free or the FTC has issued a waiver. Each would also require language affirming consumers’ rights to use third-party parts and services. For an owner comparing repair options, that is different from a promise that the manufacturer will pay for the chosen work: the proposals address the conditions attached to the warranty, not the price of every repair. [S1][S2]
The motorcycle proposal preserves several distinct exclusions. Harley-Davidson could exclude damage caused by unauthorized parts or services, racing or competition use, and specified unauthorized uses of the vehicle. Its analysis also preserves detailed powertrain coverage exclusions for motorcycles with certain tuning changes. The proposed protection against a blanket warranty-void claim therefore should not be read as a blanket assurance about a modified motorcycle. The part or service chosen and the particular exclusion invoked would both matter. [S1]
The generator proposal draws an explicit safety boundary. MWE could state that it will exclude coverage and deny warranty claims when a modification increases carbon monoxide emissions or removes carbon monoxide sensors, safety warnings, guards, or other parts affecting safe or intended performance or use. Choosing an independent repair provider and disabling a generator safeguard are not equivalent acts under this proposal. The proposed terms preserve room to deny the latter kind of claim while restricting statements that third-party repair itself voids coverage. [S2]
As of July 6, both agreements remained subject to final FTC approval. The notices set comment deadlines of August 4 for Harley-Davidson and August 5 for MWE; the commission would then decide whether to withdraw from the agreements or finalize the proposed orders. The remedies include customer and dealer notifications and website publication of updated terms. For owners, a useful distinction is to ask whether a denial rests merely on who supplied a part or performed a service, or on a particular coverage exclusion. The notices explain proposed changes to those boundaries; they do not establish that every owner had already received an updated warranty or that repair prices had fallen. [S1][S2]
Source documents
- Harley-Davidson Motor Company Group, LLC; Analysis of Proposed Consent Order To Aid Public Commenthttps://www.govinfo.gov/content/pkg/FR-2022-07-05/pdf/2022-14178.pdf
- MWE Investments, LLC; Analysis of Proposed Consent Order To Aid Public Commenthttps://www.govinfo.gov/content/pkg/FR-2022-07-06/pdf/2022-14286.pdf