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Can I offer a money-back guarantee for my product or service in Massachusetts? What are the requirements?

Money-Back Guarantee in Massachusetts

In Massachusetts, there are no specific laws or regulations that prohibit offering a money-back guarantee for a product or service. However, if you choose to offer a money-back guarantee, you must ensure that you comply with the state’s consumer protection laws.

Under Massachusetts General Laws Chapter 93A, it is unlawful for a business to engage in unfair or deceptive acts or practices in the conduct of trade or commerce. This includes making false or misleading statements about the product or service being offered, or failing to honor a money-back guarantee that has been advertised or promised to consumers.

To avoid violating Chapter 93A, businesses that offer money-back guarantees should ensure that the terms and conditions of the guarantee are clearly disclosed to consumers in writing. This includes specifying the circumstances under which a refund will be issued, the time frame within which the refund will be processed, and any other relevant details.

Additionally, businesses should ensure that they have the financial resources to honor any money-back guarantees that they offer. Failure to do so could result in legal action being taken against the business by consumers or the state Attorney General’s Office.

Overall, while there are no specific requirements for offering a money-back guarantee in Massachusetts, businesses should ensure that they comply with all relevant consumer protection laws and regulations.

[3.1] If the licensed check casher business is to be conducted from a mobile unit, the applicant must provide the Massachusetts motor vehicle registration number or other satisfactory identification of the mobile unit, a description of the area in which the applicant seeks to utilize the mobile unit, information demonstrating the adequacy of the vehicle for the transaction of cashing a check, draft, or money order, including, but not limited to, provisions relative to security, and other information which the Commissioner may require.

[1.2] The Vehicle protection product warrantor registration requires the submission of the Vehicle Protection Warrantor Registration Application Checklist and the Vehicle Product Warrantor Registration Application. The Registration must contain the exact name of the warrantor, the name under which the warrantor will do business if the entity will do business in the Commonwealth under an assumed or fictitious name, the principal office address of the warrantor, which must include street, number, city, state, country and zip code, the telephone number including area code of the warrantor, the name, address and telephone number of the warranty administrator, if any, designated by warrantor, a statement indicating that the warrantor is covering the warrantor’s warranty liability with a warranty reimbursement insurance policy or maintains the minimum net worth of not less than $30,000,000, the name, address and telephone number of the insurer if the warrantor is covering the warrantor’s liability with a warranty reimbursement insurance policy, a sworn statement of a duly authorized officer of the company or its independent auditor that the company meets the minimum net worth requirements if the warrantor elects to meet the financial responsibility requirements, the type of vehicle protection products sold, and a statement that the warrantor will abide by F.L. c.174C and that the information contained in the Registration is correct.

[4.1] No direct payment plan approved under 211 CMR 123.000, and no insurer in implementing such plan, shall require a claimant to have repairs made at any specific repair shop. Every plan must provide that every claimant will be given a single list containing the names and locations of all registered repair shops as defined in 211 CMR 123.03 that appear on the list of registered repair shops maintained by the Division of Standards pursuant to M.G.L. c. 100A, § 6. The insurer may indicate by clearly marking with an asterisk or other means of highlighting on the list of all registered repair shops at least five repair shops geographically convenient for the claimant which will perform the repairs on referred claims without undue delay. An insurer shall not provide a separate list containing only its referral shops. A repair shop may not be an insurer’s referral shop unless that repair shop appears on the list of all registered repair shops maintained by the Division of Standards and complies with the provisions of M.G.L. c. 100A. The claimant may or may not choose to use an insurer’s referral shop. The list of all registered repair shops maintained by the Division of Standards pursuant to M.G.L. c. 100A, § 6 shall be updated quarterly.

Source(s):
Jurisdiction

Massachusetts