A supplier may not audit a dealer‘s records concerning any paid warranty claim that was submitted to the supplier more than one year before the day on which the audit begins, except where an audit of records made within the one-year time period shows fraudulent claims, in which case this provision does not apply.
Terms Used In Utah Code 13-14b-104
Audit: means a review by a supplier of a dealer's warranty claims records. See Utah Code 13-14b-102
dealer: means a person or any other entity having a dealer agreement for selling and retailing:
Fraud: Intentional deception resulting in injury to another.
Supplier: includes :
(i)
any successor in interest, including a purchaser of assets or stock; and
(ii)
a surviving corporation resulting from a merger, liquidation, or reorganization of the original supplier that issued the warranty. See Utah Code 13-14b-102
Warranty claim: means a claim for payment submitted by an equipment dealer to a supplier for service or parts, or both, provided to a customer under a:
After payment or rejection of a warranty claim under Subsection 13-14b-103(2), a supplier may not audit a warranty claim more than once.
(b)
Subsection (2)(a) may not prevent a supplier from requiring additional information from a dealer if an initial audit finds potential errors, fraud, or inconsistencies.
