Bill > HB2709

This bill establishes new regulations for extended warranties on motor vehicles in Oregon, designed to protect consumers from being charged for warranties that do not actually cover their vehicle. The bill defines key terms such as "extended warranty" (an agreement specifying repair coverage, fees, and terms), "warrantor" (the person providing the warranty), and "resident" (a natural person living in Oregon). Under the new law, a warrantor must first verify that a motor vehicle qualifies for an extended warranty before accepting a fee, which means requesting and obtaining sufficient information about the vehicle's age, condition, usage, and modifications. If a warrantor accepts a fee and later discovers the vehicle does not qualify for coverage, they are still required to provide the warranty's standard coverage for the duration of the agreement. The bill also invalidates any warranty provisions that require dispute resolution outside of Oregon and considers violations of these requirements an unlawful trade practice. The new regulations will apply to extended warranties entered into on or after the bill's effective date, which is 91 days after the 2025 legislative session adjourns, and aim to prevent deceptive practices in the motor vehicle warranty market by ensuring consumers receive the coverage they pay for.

Business and Industry

https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/HB2709