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Thursday, March 28, 2024 | Back issues
Courthouse News Service Courthouse News Service

Home Depot Can Sell Rental Damage Waivers

CHICAGO (CN) - The 7th Circuit rejected a consumer-fraud lawsuit challenging Home Depot's practice of selling damage waivers along with its tool rentals.

John Rickher claimed the waiver is worthless because it doesn't grant the customer any protection beyond the rental agreement.

The damage waiver costs an extra 10 percent of the tool rental price.

Judge Kanne affirmed the district court's judgment that the waiver is not worthless because it alleviates some of the risk of loss in the rental agreement.

"Charging customers for the waiver and the corresponding shifting of risks is an acceptable arrangement that appears neither deceptive nor unfair," Kanne ruled.

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