The Federal Trade Commission (FTC) found last month that stickers stating “warranty void if removed” were illegal. As such, the FTC has sent out notices to several companies that they have 30 days to remove these stickers, and all three major gaming companies—Microsoft, Sony, and Nintendo—were included.

Motherboard was able to obtain a list of the companies that were found to have violated the Magnuson-Moss Warranty Act via a Freedom of Information Act request. Aside from Microsoft, Sony, and Nintendo, the other companies named were Hyundai, HTC, and ASUS.

The letters appear to have been sent on April 9, giving the aforementioned companies 30 days to comply before the FTC may decide to take legal action.

“This letter places you on notice that violations of the Warranty and FTC Acts may result in legal action,” the letters state in bold. “FTC investigators have copied and preserved the online pages in question, and we plan to review your company’s written warranty and promotional materials after 30 days. You should review the Warranty and FTC Acts and if necessary, revise your practices to comply with the Acts’ requirements. By sending this letter, we do not waive the FTC’s right to take law enforcement action and seek appropriate injunctive and monetary remedies against [company name] based on past or future violations.”

The FTC also found that forcing customers to use first-party services to fix their hardware is illegal. Customers should be allowed to use third-party repair shops for part replacements or other services without voiding the warranty on their devices.

Each letter reads the same except for minor changes in language based on the exact words used in a company’s warranty. Microsoft’s Xbox One warranty specifically states, “Microsoft is not responsible and this warranty does not apply if your Xbox One or Accessory is…repaired by anyone other than Microsoft.”

Posted: May 02, 2018 11:02 pm
Related Forum: Gaming Discussion