Who Owns the Extended Warranty You're Selling?

Maybe this is a rant, but I must say it. Who actually owns the extended warranty that we all offer to our customers? That question came up after my company made its first acquisition of a local dealer.

My company has been a major equipment [Brand A] dealer for almost 25 years. In April 2007, we purchased a company in the next county south of our location. The company we purchased had been a dealer for a competing equipment manufacturer [Brand B]. Like most people, we were working on the merger of our new company, making sure it went as smoothly as possible and not realizing that what we thought we had purchased really was not ours to buy.

After trying to reduce our accounts with vendors and transferring all the merger company accounts into one, we came to a roadblock. We found out the local [Brand B] distributor was giving our customers and the names of another company’s customers to other dealers in our market. The dealer’s letter to our customer stated, “You should have received a letter from [Brand B] stating that we are your new provider for your [Brand B] extended warranty.”

So who actually owns it? Not the dealer that sold it. I was told by the sales manager at the [Brand B] distributor that they can pull an extended warranty from a dealer that does not purchase enough equipment or material from them. Isn’t that nice to hear?

We are working on a resolution at this time with someone other than that distributor. Beware, dealers - sell yourself, not the equipment you put in.

Greg Bassett
Bassett Services Inc.
Plainfield, Ind.

Switched From R-22 Yet? Are You Kidding Me?

I had to laugh at the comical overemphasis on the transition to R-410 that was on the March 31 issue cover page. The HVAC manufacturers must think that most HVAC company people are a bunch of morons. They are paying The NEWS to run all these “get ready for R-410” ads, like the “get ready for 13 SEER” blitz of a couple of years ago. (Another great comedy.)

I don’t understand what all the fuss is about. I’ve been selling R-410 and 13 to 18 SEER [equipment] for nine years - nine years, people!

About 4 years ago, I completely stopped offering R-22 [units]; the customer doesn’t even get a choice. It’s R-410A or the highway.

Are there really so many HVAC morons out there who are stuck in the ’70s that the manufacturers need to go into a panic? It’s no wonder that a lot of the general public thinks HVAC [industry workers] are a bunch of morons because a lot of you must be if you need all this prodding and coddling and reminding.

Doug Fergus
All About Air
Ashland, Ore.

Send correspondence via e-mail to letters@achrnews.com.

Publication date:06/02/2008