Vehicle Warranty question...do i need an attorney?

[Josh W]

This is sorta an odd scenario.

In 2003, I bought a Chevy Silverado. When I bought it, the dealer offered me an extended warranty. It was $1985 for 6 years, 75k miles, whichever came first. The kicker is...if I don't use it at all, I get all of the money refunded. There are a couple strings attached, like I need to still be the registered owner when the warrany expires if want my money back.

So, I bought it. I kept the paperwork, and every time I took my truck in for scheduled work, I told them to make sure not to do anything that would affect my warranty.

Well, a year ago, I was told that there is a recall on the cables that attach my tailgate. I had them replaced.

Well, now my warranty has expired (I drive a lot). I take my paperwork into the dealer, they photocopy my registration, drivers license, proof on insurance, then say I should hear something in 4 weeks.

About a week later (3 days ago), I received a call (they left a voicemessage, as I was at work and they called my cell). It turns out that since I had the cables replaced, my warranty refund is voided.

My feeling is that the cable replacement was standard, and issued to all Chevy Silverado owners, not just those who had it covered by a warranty.

What's my next step? I'd like the $2k back. Do you think I'll need to get an attorney? If so, where do I begin to look for one? Just flip through the yellow pages?

[RR]

I don't think you need one. Just file in small claims.

[Josh W]

Isn't small claims only up to $250 or something? Maybe I'm way wrong.

[Los Feliz Slim]

$2000 is not worth hiring an attorney over, you'd lose too much of it in fees. What does the language of your warranty say? Who's technically correct here? You need to battle this out yourself, try and reason with them, threaten to go to the BBB, etc etc etc. If that doesn't work, I'd look into small-claims court, which you don't need an attorney for (I don't think, I actually know nothing about small-claims court). Was the warranty issued by the dealer, or a third party?

My gut is that you're probably going to find that according to the language of your contract, you're probably screwed. But check it out.

[EJXD2]

In all seriousness did you really expect them to honor this even if you just left the truck in a garage for six years?

[Josh W]

[ QUOTE ]
In all seriousness did you really expect them to honor this even if you just left the truck in a garage for six years?

[/ QUOTE ]

I thought that there was a reasonable (i.e. over 50%) chance.

[chesspain]

[ QUOTE ]
Isn't small claims only up to $250 or something? Maybe I'm way wrong.

[/ QUOTE ]

Yes, you are way wrong. Limits generally range from 3K-5K. FWIW, I've never heard of paid insurance with a guarantee of a refund if you don't make a claim.

[SackUp]

Small Claims for the win. I think they just bumped it up to $7500 in California.

Hiring an attorney would likely cost more than your claim - if you could even get an attorney to do it.

[Soya]

I am not your attorney, but if I was in your shoes this is what I would do.
I would search google for a plaintiffs' class-action firm in your area. I would then send them an email with the basic details of the case. One may or may not get an answer, but it doesn't matter that much. I would then call whoever services this warranty and go up the chain until I got someone with authority. I would then say that I had been in contact with a class-action firm and was prepared to act as the lead plaintiff in a case that pursued relief for this conduct. This would hopefully scare them into giving me my money back.
If that didn't work I would file a small claims action alleging that I complied with the contract and, in the alternative, that the provision is unconscionable because it puts one to the choice of refusing compliance with a safety recall in order to get the money back. I would be surprised if the company would want to pay an attorney to defend this claim so this might spur them to provide a refund. If not, you still have a decent chance when you go to court.
Good luck.

[Josh W]

[ QUOTE ]
I am not your attorney, but if I was in your shoes this is what I would do.
I would search google for a plaintiffs' class-action firm in your area. I would then send them an email with the basic details of the case. One may or may not get an answer, but it doesn't matter that much. I would then call whoever services this warranty and go up the chain until I got someone with authority. I would then say that I had been in contact with a class-action firm and was prepared to act as the lead plaintiff in a case that pursued relief for this conduct. This would hopefully scare them into giving me my money back.
If that didn't work I would file a small claims action alleging that I complied with the contract and, in the alternative, that the provision is unconscionable because it puts one to the choice of refusing compliance with a safety recall in order to get the money back. I would be surprised if the company would want to pay an attorney to defend this claim so this might spur them to provide a refund. If not, you still have a decent chance when you go to court.
Good luck.

[/ QUOTE ]

Thanks Soya. One question though...since they discontinued this option (the refundable warranty) shortly after I bought my truck (in fact, at the dealership, nobody was familiar with it...they had to research it), do you think I may not have critical mass for a class action lawsuit?

I mean, I've talked to handfuls of people about this, and they've never ever heard of this sort of deal. In fact, it seems silly for a dealership to offer it...they money they make on warranties is from people who buy them but don't use them. For the dealer to return that money is bad business (and also why, by my estimation, they cancelled this deal).

So, I'm just afraid that I may be one of the very few who this applies to, and any class action threat will be hollow (and worse yet, the dealer will know this).

Josh