As part of the systematic review of all Commission rules, on August 23, 2011, the Commission initiated its periodic review of the Pre-Sale Availability Rule (or Rule Governing the Pre-Sale Availability of Written Warranty Terms) (Rule 702) by publishing a notice seeking public comments on the effectiveness and impact of the rule. 76 FR 52595. The comment period closed on October 24, 2011. Staff anticipates sending a recommendation to the Commission by the fall of 2014.

The Pre-Sale Availability Rule was published as a final rule in 1975 and most recently amended in 1987. Section 102(b)(1)(A) of the Magnuson-Moss Warranty Act, 15 U.S.C. 2301 et seq., directed the Commission to prescribe rules requiring that the terms of any written warranty on a consumer product be made available to the consumer or prospective consumer prior to the sale of the product. Accordingly, the Commission issued Rule 702, which requires sellers and warrantors to make the terms of a written warranty available to the consumer prior to sale. Among other things, the rule requires sellers to make warranties readily available by either (1) displaying the warranty document in close proximity to the product, or (2) furnishing the warranty document on request and posting signs in prominent locations advising consumers that warranty information is available. The rule requires warrantors to provide materials to enable sellers to comply with the rule's requirements. It also sets out the methods by which warranty information can be made available prior to the sale of the product in instances where the product is sold through catalogs, mail order, or door-to-door.