Tying Claims In Auto-Theft System Suit Unproven: 3rd Circ.

Law360, New York (July 3, 2012, 7:02 PM EDT) -- The Third Circuit on Monday refused to reinstate a proposed class action against Penske Automotive Group Inc. and others, finding consumers failed to establish that the warranty on a vehicle anti-theft system included an unlawful tying arrangement.

The appeals court held that the limited warranty on the IBEX Anti-Theft Etch System did not violate consumers' “clearly established legal right” under the Magnuson-Moss Warranty Act because the act fails to spell out what that right is.

“The MMWA’s legislative history and Federal Trade Commission guidelines suggest that...
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