California’s passage of Assembly Bill 1755, signed by the governor on Sept. 29, marks a significant step forward in streamlining consumer warranty claims, bringing much-needed relief to both consumers and the RV industry. This legislation, backed by major players such as Consumer Attorneys of California, General Motors, Ford and Stellantis and supported by the California Judges Association, the RV Industry Association and the California Defense Council, aims to expedite the resolution of warranty disputes and get consumers, including RVers, back on the road faster.
“With California’s RV industry generating a staggering $11 billion in economic output and supporting over 51,000 jobs, the swift resolution of warranty issues is critical,” said RV Industry Association President & CEO Craig Kirby. “AB 1755 is a crucial step towards ensuring the continued growth and success of the RV industry, while simultaneously protecting the rights of California consumers.”
The intent of this legislation is twofold. First, to allow consumers to obtain relief faster — whether through restitution or a replacement vehicle to get back on the road faster — and secondly, to reduce the burden on the California judicial system. It accomplishes this by:
- Creating a pre-dispute notice requirement, which ensures the consumer notifies the correct contacts at the manufacturer via the pre-dispute notice. Oftentimes, the consumer’s problem can be solved just by talking to the right person.
- Incentivizing consumers and manufacturers to more quickly resolve claims by permitting consumers to obtain civil penalties if they comply with this requirement, while penalizing manufacturers with the possibility of civil penalties if they do not comply with this requirement.
- Creating an early mandatory mediation process that puts the manufacturer and consumer together earlier on in the process as we know that the more touch points that the consumer has with the right contact at the manufacturer, the more likely a resolution can be reached. Early mandatory mediation also allows for cases to be settled earlier, which reduces the burden on a judge’s docket.
- Streamlining document production for both sides to hopefully reduce the number and cost of discovery battles.
- Streamlining the civil procedural process of consumer warranty claims, which is currently rather drawn out, thus reducing the burden on the judicial system.
RV manufacturers value the relationships they have with consumers and want to make sure that our customers have a positive experience throughout their RV journey. The RV industry has long sought improvements to the civil procedural process in California and this is a significant step that will better protect consumers and get RVers back on the road more quickly.
