Peterson v. Volkswagen of America, Inc.

Peterson v. Volkswagen of America, Inc. - Court Decision Summary

What Happened
Peterson leased a Volkswagen vehicle that came with a manufacturer's warranty. When problems arose with the car, Peterson tried to use the warranty protections under federal consumer law (the Magnuson-Moss Warranty Act) to get relief from Volkswagen. However, a lower court dismissed Peterson's case, apparently ruling that someone who leases a car rather than buys it outright cannot be considered a "consumer" entitled to these warranty protections.

What the Court Decided
The Wisconsin appeals court disagreed with the lower court and sent the case back for further proceedings. The court ruled that a person who leases a vehicle can indeed qualify as a "consumer" under federal warranty law, as long as the warranty was properly transferred to them while it was still valid.

Why This Matters for Workers
This decision is important for workers who lease company vehicles or personal cars instead of purchasing them. It confirms that lessees have the same warranty rights as buyers when manufacturers provide faulty products. Workers can pursue legal remedies under federal consumer protection laws even if they don't technically own the vehicle, expanding their options when dealing with defective automobiles.