A merchant can offer you an additional warranty for purchase. In case of a defect of the tool or material you bought, the additional warranty allows for replacement or a refund. In general, there are 2 types of additional warranties:

  • The extended warranty. This warranty extends the duration of the warranty that is offered free of charge by the merchant or the manufacturer. This type of warranty is honoured by the merchant that sold tool or material to you or the manufacturer that made it.
  • The “insurance” type of warranty. This protection is additional to the warranty that is offered free of charge by the merchant or the manufacturer. It is usually honoured by a third party.

Coverage offered by an additional warranty

Always read the warranty contract carefully to learn:

  • what is covered;
  • what is not covered (the exclusions);
  • he conditions of application.

How to have an extended warranty enforced

If the tool or material you bought is covered by an extended warranty, you must follow certain steps to make sure your rights are respected. First, you need to ask the merchant or manufacturer to have the tool or material repaired or request their authorization to have it repaired yourself.

You must also demonstrate that:

  • the tool or material has a defect that is covered by the extended warranty;
  • you have respected the terms of your contract.

If the merchant or manufacturer refuses to honour the warranty, you should first try to reach an agreement. The Negotiating with a merchant page provides details on the procedure.

If the negotiation fails, you can send a formal notice to the merchant or manufacturer. The Sending a formal notice page provides details on this subject.

If the merchant or manufacturer fails to respond to the request indicated in your formal notice, you can initiate court proceedings. The small claims court page provides details on the procedure.

How to have an “insurance” type of warranty enforced

If an “insurance” type of warranty covers a tool or material you bought, you must follow these steps to make sure your rights are respected:

  1. Inform the warranty provider of the problem;
  2. Ask the warranty provider to have the tool or material repaired, or request their authorization to have it repaired yourself;
  3. If they refuse, send a formal notice to request the repair of the tool or material. Please see Formally notifying a merchant, which explains how to do so.

You must demonstrate that:

  • The tool or material has a defect that is covered by the additional warranty;
  • you have respected the terms of your contract.

If the company goes out of business

The law does not provide rules about protection for sums paid to purchase an additional warranty. If the company that provided a warranty that you purchased goes out of business, you may not be able to recover the amount you paid for the protection.

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Last update : November 24, 2017

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The information contained on this page is presented in simple terms to make it easier to understand. It does not replace the texts of the laws and regulations.