If Your Warranty Doesn’t Cover an Injury, Is a Lawsuit An Option?

When you purchase an item, you might check to see if it includes a warranty. You might also be interested in purchasing an extended warranty so your purchase is covered longer than the original provides. 

But does all the fine print in a warranty really protect you as a consumer? And if you’re injured by a product defect, can you still file a lawsuit if it’s covered under a warranty?

In product liability law, warranties are promises or assurances by a manufacturer or seller regarding a product’s quality, performance, or durability. They play a significant role in determining liability, but not all issues or injuries related to a product are covered by a warranty.

Here are answers to all your questions about what a product warranty does and doesn’t cover.

Types of warranties

A warranty is either express or implied. 

An express warranty is a specific promise made by the seller or manufacturer, usually in writing, about the product’s quality, functionality, or lifespan. This is typically outlined in product manuals, advertisements, or packaging. For example, an express warranty might guarantee that a product will last for a certain number of years or perform specific functions.

An implied warranty is unwritten, but comes with most product sales. An implied warranty of merchantability assures that the product is of average acceptable quality and fit for its intended use. An implied warranty of fitness for a particular purpose applies if the seller knows the buyer needs a product for a specific purpose and relies on the seller’s expertise to choose it. For example, if a salesperson recommends a waterproof watch for scuba diving, there is an implied warranty that it will withstand underwater pressure.

What does a warranty cover?

• Defects in materials or workmanship. A warranty often covers defects caused by poor materials or workmanship, such as parts that break prematurely or are assembled incorrectly. If a product fails under normal use due to a defect in how it was made or assembled, the warranty usually covers this.
• Premature product failure. If a product stops working or fails significantly within the warranty period, the manufacturer might be required under the warranty to repair, replace, or refund the product.
• Quality and performance. Warranties cover specific assurances about quality or performance. For instance, a phone with a one-year warranty should work as expected for at least that time. If it stops functioning without misuse or modification, the warranty could cover repair or replacement.

What doesn’t a warranty cover?

• Normal wear and tear. A warranty generally does not cover damages from regular use or gradual deterioration. For example, a warranty on a car’s tires might not cover gradual tread wear unless it occurs unusually fast due to a manufacturing defect.
• Misuse or improper use. A warranty usually excludes coverage for damage caused by improper use, handling, or maintenance. If a product is used in ways not intended by the manufacturer (for example, using a household appliance outdoors), the warranty could become void.
• Accidental damage. Usually, a warranty will not cover damage caused by accidental drops, spills, or impacts. For example, if a phone is dropped and the screen shatters, the warranty is unlikely to cover the repair unless you have a separate, optional rider or policy that specifically covers this situation.
• Alterations or unauthorized repairs. If a product has been altered, customized, or repaired by someone other than an authorized repair center, the warranty might be void. This might happen if you “jailbreak” a phone, for example, or make other modifications that the manufacturer would not anticipate and cannot control.
• Failure to follow instructions. In other words... if you don’t follow instructions, that’s on you. A warranty might not cover an issue that results from ignoring instructions or warnings. This could include things like cleaning incorrectly, storing at the incorrect temperature, or other types of maintenance and storage issues.
• Consequential damages. Most warranties do not cover indirect or incidental damages caused by product failure, such as damage to other property or lost income due to product malfunction. For example, if a malfunctioning washing machine floods a home, the warranty might cover the washing machine repair but not the cost of home repairs.

Limitations and disclaimers

A warranty is time-limited. If a product fails after the warranty period expires, it is no longer covered. Some warranties might also limit the coverage for certain parts of or aspects to a product. For example, a car warranty might cover its engine but specifically exclude the tires and battery. 

There are also disclaimers (again, the fine print!) that will limit their liability for certain issues. They might include a clause that there is no implied warranty of fitness for a particular purpose, and this limits the consumer’s ability to file a lawsuit for certain types of claims. 

It’s also important to note that some manufacturers or retailers offer an extended warranty or protection plan to cover an item beyond the original warranty period. This might include protection for wear and tear or accidental damage but also have their own exclusions and limitations. Extended warranties have additional cost and usually are available for a set period of time after the date of purchase.

Can you sue for damages even if any item is covered under a warranty?

Yes, you can file a lawsuit against a manufacturer or retailer under product liability law for defects, even if the item is covered under a warranty. However, the nature of the damages and whether the warranty is inadequate will determine whether you can sue.

In other words, if the item doesn’t work properly, the warranty might cover refund or replacement of the product. If the defect caused injury, then the warranty does not cover those costs, and that could be a cause of action for a lawsuit.

Warranty coverage vs. actual damages

A warranty has limitations. A warranty typically covers repair, replacement, or refund of the defective item itself, but it would not include damages like injury to a person or damage to other property. You can be compensated for these economic losses by filing a product liability lawsuit.

These indirect losses or injuries are consequential damages. A product liability claim would address these damages that are outside the scope of a warranty. For example, if you use a defective toaster and it sparks a fire that burns your house down, you would file a lawsuit against the manufacturer. The product’s warranty would cover the cost of the toaster, but would not cover the replacement value of your home and its contents. 

Another example is if you’re injured while using a power tool because of a defect. The warranty typically would not cover your injuries, so you can file a lawsuit for your medical costs and pain and suffering.

Product liability claims beyond warranty

Not every product comes with a warranty, and not every warranty covers all types of injuries and losses. There are three causes of actions for a defective product that go beyond what a warranty covers:

• Strict liability. A consumer may file a lawsuit against the manufacturer if the product defect was unreasonably dangerous and caused injury or damage, regardless of warranty coverage. Strict liability doesn’t require proving negligence and applies even when a warranty exists. All that matters is that the defect was present and the defect caused the victim’s injury.
• Negligence. If the manufacturer was negligent, either by design, manufacturing, or inadequate warnings, the consumer may file a product liability lawsuit for their injuries.
• Breach of warranty. A consumer may file a lawsuit if the warranty’s terms were misleading, or if the manufacturer or retailer failed to honor warranty obligations. Usually, this is paired with claims related to the physical injury the product caused.

You might also be able to file a product liability lawsuit if the warranty remedy (usually repair or replacement) doesn’t adequately resolve the harm. For instance, if the defect persists or the harm exceeds the warranty’s coverage because the product fails repeatedly, you might have a claim. 

A warranty does provide specific remedies for defective products. However, if the defect causes harm beyond the warranty’s coverage, the consumer might need to file a personal injury lawsuit for damages. Courts recognize that warranties have limitations and allow for additional claims when injuries or significant property damage occurs. If you’ve been injured by a defective product, you can contact a personal injury attorney for advice and to file a lawsuit.