What happens to our Lifetime Powertrain Warranty?
11-05-2008, 02:22 AM
#21
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Any company that ends up owning Jeep will inherit all liabilities as well as the assets. Warranties are binding contracts between the manufacturer and the owner. The contract is not voided if the manufacturer sells the product line to another corporation. Failure to honor warranties would result in lawsuits galore, no doubt including a massive class action suit that would cost billions to settle.
The new owner will not want to torpedo their new investment by incurring the wrath of the consumers.
I wouldn't worry about your warranty if I were you.
My regards,
Widewing
The new owner will not want to torpedo their new investment by incurring the wrath of the consumers.
I wouldn't worry about your warranty if I were you.
My regards,
Widewing
not so sure. This is not like Oldsmobile who had other GM dealers to do the work and the corporation was intact and viable.
1. If they get broken up, there is no dealership. Where are you going to get the 5yr inspection?
2. Exactly where are the parts going to come from? Lets say at 70k the JK start grenading injectors left and right. New company has a totally different engine. Where are the new injectors going to come from? They are not going to start up a production line just for some ex owners. Cheaper to send you a $1K certificate to buy a new suv from them. Once the original owner is gone, so is the warranty. Many years ago, a company I used to work for used to offer a brand new 2k printer to replace an old 1k printer under contract because the original had been outsourced and they could not get any more parts to repair them. Made their money on the service agreement. called risk mgt. MBAs get paid big bucks to dream up creative ways to mitigate such things.
3. If GM picks them up, it is to steal their cash. They will slash factories, dealers pensions, and workers. You think they care about old customers? At best they will give you a GM warranty (3 yrs/36k).
4. You can sue and they will say it is a new label so all obligations are off, just like the pensioners. See you in 5 years when it finally comes to court. Best scan those reciepts as the ink will have faded by then.
Hope for the best, prepare for the worst.
I bought the Jeep because I know it is good for 300,000 miles with some maintanence . I find if you can get through the first 20,000 miles, the next 280,000 are a piece of cake. No worries from me.
Last edited by homer; 11-05-2008 at 02:27 AM.
11-05-2008, 06:21 AM
#22
not so sure. This is not like Oldsmobile who had other GM dealers to do the work and the corporation was intact and viable.
1. If they get broken up, there is no dealership. Where are you going to get the 5yr inspection?
2. Exactly where are the parts going to come from? Lets say at 70k the JK start grenading injectors left and right. New company has a totally different engine. Where are the new injectors going to come from? They are not going to start up a production line just for some ex owners. Cheaper to send you a $1K certificate to buy a new suv from them. Once the original owner is gone, so is the warranty. Many years ago, a company I used to work for used to offer a brand new 2k printer to replace an old 1k printer under contract because the original had been outsourced and they could not get any more parts to repair them. Made their money on the service agreement. called risk mgt. MBAs get paid big bucks to dream up creative ways to mitigate such things.
3. If GM picks them up, it is to steal their cash. They will slash factories, dealers pensions, and workers. You think they care about old customers? At best they will give you a GM warranty (3 yrs/36k).
4. You can sue and they will say it is a new label so all obligations are off, just like the pensioners. See you in 5 years when it finally comes to court. Best scan those reciepts as the ink will have faded by then.
Hope for the best, prepare for the worst.
I bought the Jeep because I know it is good for 300,000 miles with some maintanence . I find if you can get through the first 20,000 miles, the next 280,000 are a piece of cake. No worries from me.
1. If they get broken up, there is no dealership. Where are you going to get the 5yr inspection?
2. Exactly where are the parts going to come from? Lets say at 70k the JK start grenading injectors left and right. New company has a totally different engine. Where are the new injectors going to come from? They are not going to start up a production line just for some ex owners. Cheaper to send you a $1K certificate to buy a new suv from them. Once the original owner is gone, so is the warranty. Many years ago, a company I used to work for used to offer a brand new 2k printer to replace an old 1k printer under contract because the original had been outsourced and they could not get any more parts to repair them. Made their money on the service agreement. called risk mgt. MBAs get paid big bucks to dream up creative ways to mitigate such things.
3. If GM picks them up, it is to steal their cash. They will slash factories, dealers pensions, and workers. You think they care about old customers? At best they will give you a GM warranty (3 yrs/36k).
4. You can sue and they will say it is a new label so all obligations are off, just like the pensioners. See you in 5 years when it finally comes to court. Best scan those reciepts as the ink will have faded by then.
Hope for the best, prepare for the worst.
I bought the Jeep because I know it is good for 300,000 miles with some maintanence . I find if you can get through the first 20,000 miles, the next 280,000 are a piece of cake. No worries from me.
A bankruptcy or asset only sale, backed by the government, would provide the successor with the largest legal shield (and a pretty effective one) for the new brand owner. Their only incentive to honor or compensate existing warranty holders would be driven by their business requirements which don't always align with our notions of right and wrong.
This is like watching a sick friend dying who owes you money. Maybe the debt becomes incidental. I probably own a half dozen Plymouths and two are licensed and insured (63 Sport Fury Conv and 65 Belvedere Conv). After the merger with Benz and the Plymouth brand was discontinued, I lost more and more faith in Chrysler, but I'm still pulling for them to come out of their current peril reasonably intact -- warranty and all.
-meljr
Last edited by meljr; 11-05-2008 at 06:24 AM.