(08:30 June 30, 2004)
Warranty Woes: Whether abuse or autocrossing, most automakers are not covering it

By ANDREW LUU
MICHAEL MILLER DIDN’T know it, but the drivetrain warranty was already void on his son’s new Mitsubishi Evolution before he even took the car in for service to his local Salt Lake City dealership.

Unbeknownst to Miller, Mitsubishi placed a lifetime warranty restriction on the engine, clutch and transmission in Miller’s Evo because the company discovered the car had been entered in a Sports Car Club of America autocross event a month earlier.

Miller said that about two weeks after entering the Evo in the SCCA event he heard bad noises emanating from the engine bay and took the car in for service. “The dealer performed a vehicle service inquiry and I was told there was a restriction placed on my file,” Miller says.

Bottom line: After entering the car in one SCCA event, Miller was left with a $7,000 bill for repairing two failed connecting rods and a blown turbocharger.

“Problems related to racing or modifications are not covered under warranty,” says Mitsubishi spokeswoman Janis Little. “Autocrossing, or timed competition, is classified under the warranty terms as racing. It’s difficult for us to know if you’re out there racing, but if there is evidence of racing damage, we’re going to look into it and you may have warranty restrictions placed on certain parts of the vehicle.”

Most owners recognize that part of the cost of going racing means footing the repair bill when something goes awry. Manufacturer warranties and owner manuals typically specify that harsh use, abuse, non-factory modifications and racing can void all or part of a vehicle’s warranty intended to cover defects in materials or workmanship. Miller’s case, however, raises questions about how the company discovered his autocross involvement.

The buzz in online communities suggests Mitsubishi is cross matching names from its owner database with SCCA autocross results. Those who turn up on both lists are notified that their vehicle warranties are void, the online chatter claims. Miller says Mitsubishi wasn’t clear on how it learned of his autocrossing.

Mitsubishi adamantly denies that it uses automated web search systems to look for Evolutions involved in race events. “We don’t have people out there searching websites for names,” says Little.

No matter how racing involvement comes to the attention of an automaker, companies steadfastly stand by their right to limit warranty coverage—even if the cars they sell are clearly built for speed and marketed with flashy ads and brochures that promote enthusiastic driving. Most automakers say the same thing: Racing, track use, competition and other abuses aren’t covered.

“When it hits the track, all bets are off,” says Bob Carlson, Porsche Cars of North America spokesman.

For instance, even though Subaru pops for a one-year SCCA membership for every interested WRX buyer, and in its marketing materials appears to encourage owners to enter their cars in autocross events, the company says autocrossing is racing and racing can void warranty coverage. The WRX/SCCA application form says the SCCA “looks forward to helping you fully experience the benefits of owning this car.” But the form also includes a disclaimer that Subaru’s warranty excludes “damage or failure resulting from participation in competition or racing events.”

“If the damage looks to be racing related, you’re not going to be covered,” says Subaru spokeswoman Larkin Hill. “We don’t want to punish the person who goes out once in a while and autocrosses—and that shouldn’t cause any problems with the car anyway. However, autocross is considered competition and the warranty does not cover abusive driving or competition. If you’re out there racing every weekend, you can’t expect us to fund it.”

You’ll hear the same story at DaimlerChrysler Street and Racing Technology, where they make the Dodge SRT-4, the Viper-powered Ram SRT-10 and the supercharged Chrysler Crossfire SRT-6. “Technically, racing damage is not covered under warranty,” says SRT spokesman Dan Bodene. “If a guy autocrosses, submits a problem for warranty and the dealer suspects it is racing related, he’s going to huddle with our technicians to find out. If it is, our dealers are not obligated to cover it under warranty.”

Chevrolet lures young buyers with the performance promise of its 2005 supercharged Cobalt SS, but the owner’s manual clearly states the warranty does not cover alterations and misuse.

“Under the misuse heading, such things like running over curbs, improper loading and competition or racing are spelled out specifically,” says Chevy spokesman Mike Stoller. “If there’s a car coming into the dealer that has been racing and that results in damage, and it’s something that is probable or obvious, that would not be something we would be compelled to cover.”

Internal investigations aren’t limited to auto-crossing, but cover any activity deemed outside normal use, such as track days and plain old aggressive driving.

“If a guy’s constantly lighting up the tires on the street, that’s not normal wear and tear,” says Chrysler’s Bodene.

Adds Mitsubishi’s Little: “You’re not going to get black-flagged just for entering an auto-cross, but if something happens we want people to be reasonable and responsible for their own actions. If you go once in a while, just like if you drive hard on the street, who’s going to really know? But if you’re coming in two or three times to replace a blown clutch, we know you’re probably testing your car’s 0-to-60 time.”

But what about all those manufacturer- and dealer-sponsored “racing” events—track days, club meets and performance driving programs that seem to encourage owners to drive competitively?

The big difference, companies note, is that manufacturer-sponsored driving programs such as Mazda’s Rev It Up or the Porsche Driving Experience provide cars and instruction, and no owner vehicles are permitted.

One rare exception is track day events organized, sponsored and sanctioned by the national Ford SVT Owners’ Association and local Ford/SVT dealers. Owners bring their cars, and the association and participating dealers agree to cover any mechanical failures brought on by normal track use.

“Owners can participate in the instructional days without automatically voiding their warranties,” says Ford Performance Vehicles spokesman Alan Hall. “Obviously if they abuse it [the car] on the track, or there’s a part that breaks due to aggressive driving, that will not be covered under warranty. But your warranty will not be voided across the board by just participating in that event. We don’t automatically void a warranty unless above-normal abuse is shown on a vehicle.”