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Commercial HVAC & Refrigeration Equipment Expired Warranty

When contractors install new commercial HVAC or Refrigeration systems the manufacturer will provide a parts warranty for a period of time after the install.

In the event of a failure during the warrantied period the cost of the parts associated with the repair are covered by the manufacturer. Generally, the warranty period starts at the time of installation. Customers expect that their systems will come with some type of parts warranty by the manufacturer. However, there are instances where contractors or builders are faced with the issue of having installed or are about to install a system that will not come with a parts warranty.

Construction Delays and Expired HVAC Warranties

When commercial new construction is underway, unexpected circumstances can cause projects to run over projected timelines. COVID was a great example of such an unexpected circumstance but there are many reasons that could cause projects to be postponed or stop and start at a later date. Here are two examples.

An HVAC/R contractor installs a new system but the building occupancy doesn’t start until several years after they installed the new system. HVAC is just one of many parts of a building’s mechanical profile and general construction requirements and funding, legal issues or any number of events can arise after the HVAC/R systems are installed. These events can drag the timeline past the manufacturer’s warranty causing it to run out.

Another instance is when, like in the earlier example, the equipment is ordered and shipped to the job site but construction on a project stops. The HVAC equipment is left at the job site for several years before the installation is completed. When construction resumes the parts warranty and in some cases the warranty on major components has expired.

In both of these cases the customer would prefer the mechanical systems in the building come with traditional warranties when they take possession of the finished building. On a typical construction project, warranty would include both a 1-year parts and several years on major components like compressors, heat exchangers etc. In these examples because that coverage will not be provided by the manufacturer, the contractor or builder would have to inform the customer that the HVAC/R equipment are in working order when the customer takes possession but there is no warrantied period.

Who is Responsible for the Expiration of the HVAC/R Warranty?

The answer to this question is not always straight forward. The responsibility would fall on the party that caused the delay in the construction timeline which led to the manufacturer warranty expiration. In the event the customer lost project funding, partner disputes led to pausing in construction or other matters that were not in the builder’s or contractor’s control, the responsibility would fall on the building owner. If the builder ran into delays stemming from his ability to manage the project, subcontractor issues or any number of obstacles that can arise during a construction project, then the responsibility would fall on the builder. Sometimes there are delays caused by both parties and when that happens it can be hard to determine to what extent each party was responsible.

Dealing with Expired Commercial/Industrial HVAC and Refrigeration Warranties

Regardless on which party was responsible for the expiration there are options available to contractors, builders and property owners. Extended parts and labor warranty options can help provide coverage on equipment when the manufacturer’s warranty has run out. Trinity Warranty Solutions offers coverage on commercial and industrial HVAC and Refrigeration equipment that are newly installed but for one reason or another the manufacturer’s warranty expired. Coverage options are available for parts and/or labor, with coverage terms ranging from 1 to 5 years.

ESAs for Contractors

If you are a contractor that would like to offer parts and labor coverage to your customers, feel free to reach out to us 

For more details on Trinity Warranty for Contractors visit ESAs Designed for Contractors