Are you bound by a warranty your salesperson promised?
Short answer. Yes. Under COMAR 09.08.01.07 your salesperson represents you, so their promises are yours. Correct the misrepresentation at once, then either amend the contract or give the homeowner a fair way out.
- COMAR 09.08.01.07
Work it through
You're the contractor. Pick what you'd do, then see how each choice plays out.
Brenda Hayes
Your salesperson who goes door-to-door generating leads
Brenda is finally licensed and back selling for you. She calls to say she closed a deal, but she told the homeowner that your company provides a 5-year warranty on all work.
Your standard warranty is 1 year.
- Correct
COMAR 09.08.01.07 is clear: a salesperson represents the contractor. What Brenda promises, YOU owe. If the homeowner signed based on a 5-year warranty representation, they're entitled to it or to cancel. Correct the misrepresentation immediately and either amend the contract or offer the homeowner a fair exit. Then retrain Brenda — again — on what she's authorized to promise.
- Deceptive
While the written contract is the primary document, knowingly using a bait-and-switch (promise 5 years verbally, write 1 year) is deceptive. If the homeowner accepted the deal based on Brenda's 5-year representation and then discovers the contract says 1 year, that's a textbook MHIC complaint for misrepresentation. COMAR 09.08.01.07 holds you accountable for your salesperson's representations.
All 13 advertising & salespeople questions
- Do you have to give homeowners your MHIC license number?
- What must Maryland home improvement advertising include?
- Does your MHIC number have to be on your work truck?
- Where must your MHIC license number appear?
- Does a contractor's Facebook page need the MHIC number?
- Does a home improvement salesperson need an MHIC license?
- Are you responsible for your salesperson's violations?
- Are you bound by a warranty your salesperson promised?
- How do you answer a competitor's false claims about your license?
- How should a contractor respond to a false online review?
- How do you compete with a far lower bid from a questionable contractor?
- Should you use a competitor's bid to undercut them?
- When is suggesting upgrades good practice and not an upsell?