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The Rural Voice, 1979-11, Page 11Dealers say OFA warranty call is too rigid BY ADRIAN VOS Farmers have been complaining for years about the lack of parts supplies for farm machinery, resulting in a government - appointed Ontario Farm Machinery Board. This board is to look into complaints of neglect by farm machinery manufacturers with regard to parts availability and other problems. Lately the Ontario Federation of Agri- culture (OFA) has been pressing the government of Ontario for a law governing equipment warranties and parts supplies. The government has proposed a volun- tary code of practice for manufacturers and dealers, but the industry has not been very enthusiastic in support of such a code. For that reason the OFA now wants a firm law setting forth the conditions that must be incorporated in equipment warranties. The OFA wants these points made into law: 1. Compensation for losses caused by lack of parts. 2. Must also apply to parts of old machinery for a certain time. 3. Performance guarantee for two years and in -Province parts depots. 4. Change the role of the Farm Machinery Board from negotiating role to an arbitrator role. 5. Legal power for Farm Machinery Board and protection against prosecution. 6. Warranty term for at least two years or one based on use -hours. 7. Enforcement of delivery times of parts (both in emergency and in regular circumstances.) The reasoning of OFA is that manufac- turers and dealers, who have sold a very expensive piece of equipment, are morally obliged to make sure that this equipment is functioning when needed. If they are unwilling to provide that service, it is the duty of the government to protect the buyer. Huron county machinery dealer Neil McGavin, past president of the Ontario Retail Equipment Dealers Association and a former dealer representative on the Ontario Farm Machinery Board (OFMB), thinks that the position of the OFA and of the four farm representatives on the OFMB is much too rigid. Nevertheless he thinks that real progress had been made lately and was a bit surprised at the demands for change by the OFA. Mr. McGavin acknowledges that there are dealers who give less than perfect service, but he doesn't think that legis- lation is the answer: "It's just not practical," he said. "You give it to government and they usually screw everything up." He finds that the OFA approach is much too simplistic. "The average farmer doesn't understand the complexity of equipment dealings. It is for instance against the law to transport equipment for another dealer without a PCV licence. I can' t legally go to Toronto to pick up a part and at the same time bring something downfor a fellow dealer. Strictly speaking, if the law was enforced, I couldn't pick up a tractor at a farm to bring it in for repairs without a PCV licence." OUT OF BUSINESS He maintains that a dealer who doesn't give service will be out of business. His only business will be with customers who will forego service in order to save a bit of money, but in all cases that were investigated while he was on the OFMB, it was these farmers who complained about lack of service. These are also the people who scream for a part needed on a Sunday, and when the dealer arranges that a man will come in especially for them to the supply depot, they don't show up. Or a part may be flown in from outside the country and when they see the extra cost of transport they leave the dealer with the part and cost. John Radford, a dealer from Londesboro., concurs. He says that the White Motor Company will send someone out at any time if a dealer so requests, but because of the problems explained by Mr. McGavin, he is careful who he sends down. If he is not absolutely convinced that the farmer actually will go, he doesn't make the arrangements. Mr. McGavin doesn't know what law could compell a foreign based company to conform to the demands of OFA. He thinks that it would be much more useful if the OFA demanded that parts be interchange- able between different machines. "Look at wheels alone," he says. "There are wheels wiUi lout, five, or six studholes. Why not s r!"' thcm? Why not for bearings and h) draulic hoses? i were is some cooperation on hoses, but two of the big companies are still holding onto their own size, different from anyone else. They are John Deere and Inter- national Harvest er. NOT ALWAYS HEEDED He finds that voices from Canada are not always heeded abroad. He himself has had THE occasion to threaten to withdraw as dealer for Leyland unless they made improve- ments. There's no law that can do that, he thinks. He rejected all the requests of the OFA as impractical. A responsible dealer will strip another machine for a needed part. If the dealer is not responsive he will lose his best customers. The western provinces which have a law compelling an extended warranty , have added 15% to the purchase cost of equipment and Mr. McGavin doubts the average Ontario farmer is willing to pay more. His experience is that most farmers would rather take the risk for a lower price. He has too many parts in store that have been ordered and never picked up: when a farmer saw the extra cost he suddenly could do without. It is the same improvident farmer who has his machine sitting in his shed all winter and then suddenly discovers that it needs repair on the day he needs it in the field. Then he demands a temporary replacement or emergency part supplied at no extra cost. If a dealer lets inadequately trained people work on a sensitive machine, causing more damage, he can be sued now, and no new legislation will improve upon the system, Mr. McGavin feels. Most equipment companies have ex- tended warranties already in place. If a defective part is found, no matter what time has expired, it will be replaced at no cost. Mr. Radford, who went through such an experience with a Deutz tractor, found that they even pay for all labour required. He thinks that this is customary in Europe. Neil McGavin is firmly convinced that if a voluntary code of ethics is adopted, all equipment dealers will fully cooperate. Mr. Radford is not so sure. He thinks that in large areas, with only one dealer, customers are very much dependent on his good will. He gets frequent calls from outlying areas for parts, some even from Prince Edward Island. He thinks that it is the duty of these dealers to provide a better service. OFA's Fern Dale, who deals with farmer complaints from Toronto, says that farmers have indicated they are willing to pay more in order to get that extra protection that comes with it. NO RECOURSE "It happens that a S60,000 piece of equipment is used for six weeks during the season, and the next year, after the warranty has expired, the machine may break down. Then there is no recourse for the owner," he says. Most complaints coming in to the OFA fieldmen seem to confirm the position of Mr. McGavin. Most of these complaints deal also with maintenance and repair service. There are continuous complaints about RURAL VOICE/NOVEMBER 1979 PG. 9