Robot warranty and RMA in North America: who pays for what
Short answer: When a robot maker sells robots into the United States or Canada through a dealer or integrator and uses a local field service partner, a warranty claim touches four contracts. In a clean setup, the OEM pays for covered parts and, through a published warranty labour rate and standard repair times, for the labour; the dealer owns the customer relationship and files the claim; the service partner diagnoses, documents and swaps parts at the agreed rate; and the end customer pays only for what the warranty excludes. Disputes rarely come from the main rule. They come from the edge cases nobody wrote down: when the warranty clock starts, who pays for a visit that finds no fault, whether a replacement ships before or after the failed part comes back, what counts as a consumable or as abuse, and who handles customs and a damaged lithium battery on the way back. This page gives clause-by-clause wording you can adapt, with the North American legal and customs points we could verify against official sources.
KeepRobots is a robot field service company in Vancouver. In the setup below we would be the "service partner", so read our view with that in mind. This is not legal, customs or tax advice: the regulatory points summarize official sources checked on 2026-10-16 and listed at the end; confirm anything contractual with counsel and anything at the border with a licensed customs broker. If you want the short decision table version (five visit outcomes and who gets invoiced), we published it as a LinkedIn article; this page goes one level deeper, into the contract terms behind that table.
Who does what: the four-party split
Most Chinese robot makers enter North America with some version of this chain: OEM → dealer, distributor or system integrator → end customer, with a field service partner doing the on-site work because the OEM has no technicians in the country yet (how that model works). Each link has a different contract, and the warranty only works if the four line up.
| Party | Owns | Pays for (default) | Must not do |
|---|---|---|---|
| OEM (robot maker) | The warranty itself, the coverage decision, root cause, parts, firmware, the RMA number | Covered parts, freight for warranty parts, warranty labour at the agreed rate and standard times, the first site visit for dead-on-arrival units | Change coverage rules ticket by ticket; ask the partner to "just fix it" without an approval number |
| Dealer / integrator | The customer contract, the sale price, the first call from the customer, the claim to the OEM | Anything it promised the customer beyond the OEM warranty (longer term, faster response, loaners) | Promise the customer more than the OEM warranty covers without paying for the difference itself |
| Service partner | Diagnosis, the evidence pack, the parts swap, return shipping of failed parts (if agreed) | Its own repeat visit if its repair fails within the agreed workmanship period | Tell the customer "this is covered" or "this isn't covered": that is the OEM's call |
| End customer | Using the robot as documented, reporting faults, giving site access | Exclusions: abuse, consumables, unapproved modifications, out-of-warranty work; in some contracts, repeated no-fault-found visits | Open sealed assemblies or let an unauthorized third party do so |
If the OEM sells direct, without a dealer, it takes the dealer column too. If the dealer has its own technicians, it may take the partner column. The columns stay the same either way. What causes trouble is a column nobody holds.
The warranty clauses, one by one
Below are the terms that decide who pays, with what to write and why. Wording in quotes is a starting point for your lawyer, not finished contract language.
1. When the warranty starts: ship date, install date or "whichever first"
A robot can sit in a container, a bonded warehouse and a customer's loading dock for two or three months before anyone powers it on. If the warranty starts at ship date, the end customer loses that time; if it starts at "installation", the OEM carries an open-ended risk on units a dealer never installs. Published terms show the range: Boston Dynamics' Spot terms run 12 months from initial delivery; Yaskawa America's drives and motion warranty runs one year from first use or 18 months from shipment, whichever comes first; Ruijie (a Chinese OEM, networking hardware) starts at shipment by default and, for partner resale, caps the start at 90 days after shipment.
What to write: "12 months from the date of commissioning recorded in the commissioning report, but no later than [X] months after the date of shipment from the OEM's factory." The commissioning report gives everyone one date, the cap protects the OEM against stock that sits at a dealer, and the dealer passes the same terms to the customer. Our robot deployment checklist for OEMs covers what that commissioning sign-off should contain.
2. Parts vs labour: who pays which
Many factory warranties written in China cover parts and say nothing about labour, because at home the OEM's own technicians do the work. In North America the labour is a paid visit by somebody, and it is often larger than the part. Decide explicitly:
- Parts: OEM, shipped free to the partner or issued from consignment stock (how consignment spares work in Canada).
- Labour: OEM reimburses the party that did the work (dealer or partner) at a warranty labour rate and standard repair times per job.
- Call-out and travel: say whether the OEM pays them, and up to what distance. Without this line, the first rural site turns into an argument.
3. Warranty labour rate and standard repair times
Mature equipment industries do not reimburse "actual hours". True Manufacturing's published US labour reimbursement rules for commercial refrigeration, for example, pay straight time capped at average commercial rates for the region, only up to the hours in a model-by-model repair guide (a compressor change is 4½ hours there), one diagnosis and one repair trip without prior approval, and travel up to 30 miles one way.
What to write: a schedule with one line per field-replaceable unit (drive module, lidar, battery pack, main board, charging contacts): standard minutes, whether diagnosis is included, and the rate. "Labour in excess of the standard time requires an approval number from the OEM before the work continues." For multiple repairs on one visit, use one rule (for example the longest job plus a fixed allowance per extra job) rather than adding all the times together.
4. No fault found (NFF)
Service robots generate a lot of "it stopped" calls that turn out to be Wi‑Fi, a blocked sensor, a map change or an untrained shift. A visit that finds nothing still costs a call-out and diagnosis. Ruijie's published terms put the cost on the requester: if a returned unit is found not defective, the requester pays the replacement and shipping costs.
What to write: "A remote check following the OEM's triage script is required before dispatch. If the partner finds no defect and the triage was done, the OEM pays the visit. If triage was skipped at the customer's or dealer's request, the visit is billable to [dealer/customer]." Add a review trigger, for example three NFF visits on one site in a quarter, which means a training or site problem, not a warranty problem.
5. Advance replacement vs repair-and-return
With repair-and-return the failed unit goes back first and the customer waits. With advance replacement the good part ships first and the failed one follows. For a robot on a hotel floor or a warehouse shift, advance replacement from in-country stock is usually the only option customers accept. The OEM then needs the failed part back to control fraud and to do root cause. Ruijie's terms show the usual guard: under advance replacement the faulty unit must be returned within 15 business days or the list price is charged.
What to write: "Advance replacement from local stock for parts on the critical list; failed part returned within [15] business days under the RMA number, or invoiced at [price]." Also list which parts are repair-and-return only (expensive assemblies the OEM wants to refurbish).
6. Dead on arrival (DOA)
A unit that fails at first power-on is a different case from a warranty failure after months of use: it is a shipping or factory quality problem, and the customer has not had any use from the product. Ruijie's DOA definition is a useful template: not activated, no external damage, fails at first power-on or within 30 days of power-on operation, original packaging complete.
What to write: a DOA window (for example 30 days from commissioning), and that DOA cases are handled as a full replacement or a priority repair, with the OEM paying all labour, re-commissioning and freight, without the usual deductibles or NFF rules. Treat it as your quality cost, not a claim to argue.
7. Exclusions: consumables, abuse, modifications
Write exclusions as lists, not adjectives. Boston Dynamics' Spot terms give consumable and wearable components 90 days instead of 12 months, and state that falls are not defects. For service robots, a consumables list usually includes brushes, squeegee blades, filters, pads, bumper strips and, depending on the design, wheels and tires (our drive wheel service life notes explain why wheels are a judgment call). Abuse and accident exclusions should name the evidence that decides them (impact marks, liquid in the electronics bay, broken seals) so that the partner's photos settle the question.
8. Claim deadline, evidence pack and RMA number
Claims that arrive months later with one blurry photo are the main reason OEMs reject them. Yaskawa America asks for written notice within 60 days of discovering a defect; True's labour claims must arrive within three months of the work. Pick deadlines and publish the evidence you need:
- Robot serial, part serial, firmware version, run hours, fault codes and the exported log file
- Photos before removal, including the label and any damage; a short video if the fault is intermittent
- Triage steps done remotely, and their result
- What was replaced, with the time on site
- The OEM's approval number and, for returned parts, the RMA number written on the part tag and the box
What to write: "Claims must be submitted within [30] days of the repair with the evidence pack in Schedule C. The OEM will accept or reject within [5] business days; claims not answered in that time are accepted." The last sentence is the one that makes the OEM's warranty desk keep up. With Vancouver on permanent UTC-7 since 2026 and Shenzhen on UTC+8, the time difference is 15 hours year-round, so business days on both sides overlap very little. Put the response clock in a stated time zone.
9. Repaired parts and the warranty period
Say whether a repair restarts the clock. Boston Dynamics says repair or replacement does not extend the warranty period. Yaskawa and Pudu's SH1 policy give replaced parts the remaining term or 90 days, whichever is longer. Separately, agree a workmanship period with the service partner: if the same fault returns within, say, 30 days of its repair, the partner covers its own labour for the return visit.
10. Implied warranties: what the law adds and what it doesn't
Keep this part short, and get it right:
- Magnuson-Moss does not govern most commercial robots. The US federal warranty law applies to "consumer products", meaning products normally used for personal, family or household purposes. The FTC's guide says it does not apply to warranties on products sold for resale or commercial purposes. A floor-scrubbing robot sold to a facility company is normally outside it; a home robot is not.
- US commercial sales still carry implied warranties under state commercial codes. Under UCC § 2-314, a merchant seller gives an implied warranty of merchantability unless it is excluded. Under § 2-316 the exclusion must mention "merchantability" and, if written, be conspicuous. Each state adopts the UCC with its own variations.
- In Canada, provincial sale of goods law applies. In British Columbia, the Sale of Goods Act implies conditions of correspondence with description (s. 17), fitness for a disclosed purpose and merchantable quality (s. 18). Section 69 allows these to be negatived or varied by express agreement, while s. 20 makes such exclusions void in retail sales, a term the Act defines to exclude sales for primarily business use and sales to corporations. Other provinces have their own statutes and consumer protection rules.
The practical point: your dealer agreement and your customer-facing warranty should both state the express warranty, the exclusive remedy (repair or replace) and the disclaimer of implied terms in the form each jurisdiction requires, reviewed by a lawyer in each country where you sell.
Parts crossing the border: customs and batteries
A warranty programme in North America moves parts in both directions: replacements come in, failed parts go back to the factory. Several assumptions that sound reasonable are wrong.
Canada (CBSA)
- Free warranty replacements are not automatically duty-free. CBSA Memorandum D8-2-26 says replacement goods are classified under their normal tariff headings and full customs duties apply. GST/HST relief may be available for warranty replacements, and the invoice must still show a value even when there is no charge. We found no general duty exemption for warranty replacement goods.
- Tariff item 9992.00.00 is about repairs, not replacements. It gives duty-free re-entry to goods returned after repair or alteration in a free-trade partner country, such as the United States or Mexico, warranty or not. It does not give GST/HST relief by itself; warranty repairs are relieved of GST/HST only if the warranty covers all parts and labour.
- A part repaired in China and sent back is generally dutiable on its full value, unless it is duty-free by classification or qualifies under CBSA's program for Canadian goods repaired abroad, where duty applies only to the value of the repair.
- Duties paid on defective imports can be refunded. Under Customs Act s. 76 and Memorandum D6-2-3, duties can be refunded when imported goods are defective and are exported, or destroyed under CBSA supervision. The claim needs the supplier's statement of the defect, a credit note and proof of export. Memorandum D6-2-4 covers a defective part removed from equipment and returned for credit. Worth setting up if you replace whole units or high-value modules.
United States (CBP)
- Warranty repairs abroad are dutiable on the value of the repair. HTSUS 9802.00.40 covers repairs made under a warranty, with duty on the value of the repair. If no charge is made, that value is still declared. It is free only under listed trade agreements: for USMCA, repairs done in Canada or Mexico. China is not on the list. 19 CFR 10.8 requires declarations from the repairer and the importer.
- Defective imports can get drawback. Under 19 U.S.C. 1313(c), duties on merchandise that was defective at the time of import can be refunded if it is exported or destroyed under CBP supervision within 5 years of import.
- Replacement parts shipped free: we found no general US duty exemption. Plan to enter and value them like other imports, and confirm with your broker.
Damaged lithium batteries
A battery pack that failed, swelled or was in a crash is the hardest part to send back. IATA's lithium battery guidance forbids air transport of damaged or defective lithium batteries that could overheat, catch fire or short circuit. In the US, 49 CFR 173.185(f) allows them only by highway, rail or vessel. Each battery needs its own non-metallic inner packaging with non-combustible, non-conductive cushioning, inside a Packing Group I outer packaging marked "Damaged/defective lithium ion battery". In Canada, TDG special provision 137 applies to damaged or defective lithium batteries, with specific packing instructions, marking, and a ban on aircraft. In practice, a damaged pack from Vancouver will not fly back to Shenzhen. Write into the warranty that the OEM may accept photos, logs and a certificate of local recycling as the return for batteries, instead of the physical pack.
And for robots in scope of the FCC's Covered List decision for foreign-produced robotic devices in the US: the FCC's FAQ says repairs and replacement with identical parts are not prohibited, so keep warranty swaps to identical part numbers (FCC Covered List and robots: Canada vs the US).
What a warranty visit costs: three examples
Using KeepRobots' published rates in our Greater Vancouver core area as an example: diagnostic fee $200 CAD per visit (credited against an approved repair), call-out $100 CAD, on-site labour $150 CAD per hour; in the US the diagnostic fee is $200 USD and labour $150 USD per hour. Taxes, parts and travel outside the core area are extra. Hours below are estimates for illustration, not measured data.
| Case | On site (estimate) | Partner invoice, before tax | Paid by (if the contract is written as above) |
|---|---|---|---|
| Covered defect: drive module swap, advance replacement from local stock | 2 h | $100 + 2 × $150 = $400 CAD (diagnostic credited) | OEM, at the agreed warranty rate and standard time; part from OEM stock |
| No fault found after a skipped remote triage (Wi‑Fi change on site) | diagnostic visit only | $200 + $100 = $300 CAD | Dealer or customer, per the NFF clause |
| Abuse exclusion: bumper and lidar damaged by a pallet jack | 3 h | $100 + 3 × $150 = $550 CAD, plus parts | Customer, invoiced once by the party your invoicing route names |
For a comparison of per-visit cost against hiring your own technician, see should a robot startup outsource field service?
Common pitfalls
- The dealer promises 24 months; the OEM warranty is 12. The second year is then the dealer's cost, and dealers rarely budget for it. Make extended terms a paid, written OEM programme or the dealer's explicit risk.
- A parts-only warranty in a labour-heavy market. A free $300 part does not help a customer facing a $500 visit invoice. The customer blames the robot brand, not the dealer.
- No approval path outside Chinese business hours. With a 15-hour difference, a morning fault in Vancouver lands at midnight in Shenzhen. Name an after-hours approver, or give the partner a pre-approved list of swaps.
- Customs treated per ticket. Each replacement shipped "no charge" by express courier, declared differently each time. Decide the importer of record, the declared value and the refund or drawback process once, with a broker.
- Failed parts that never go back. Without an RMA number, a tag and a deadline, the parts sit in a van and root cause never happens. Reconcile consignment stock against claims monthly.
- Battery returns planned by air. See above. Plan local recycling with evidence instead.
- The partner deciding coverage on site. It feels helpful, but it creates a promise the OEM has not made. The partner documents; the OEM decides.
What KeepRobots can do
KeepRobots is a robot field service company in Vancouver serving Canada and the United States. We don't make or sell robots and are not an exclusive agent for any brand. In a warranty programme we can be the service-partner column:
- Diagnosis and parts swaps on site under your fault tree and approval rules, with sealed assemblies left closed unless you approve in writing.
- An evidence pack on every ticket in the format your warranty desk asks for (serials, firmware, logs, photos, time on site), in English or Chinese. Our engineers read Chinese technical documents.
- Holding your consignment spares for advance replacement, tagging failed parts under your RMA numbers and arranging returns, or local battery recycling with documentation.
- Pre-sales demos, deployment and commissioning, so the commissioning date that starts your warranty is recorded properly. More on our robot service across Canada page and our programme for robot makers.
If you are writing your North American warranty and dealer terms now, email partners@keeprobots.com or see North American field service for robot makers. We are happy to review how the service side of your draft would work in practice. We can't give legal advice.
FAQ
Who pays for labour on a robot warranty claim in North America?
Whatever the contracts say, and it should be written down. A common clean setup: the OEM reimburses labour at a published warranty labour rate and standard repair time per part, and pays covered parts and their freight. The dealer or service partner does the work and files the claim. The end customer pays only for exclusions such as abuse, consumables and out-of-warranty work.
Does the Magnuson-Moss Warranty Act apply to commercial robots?
Generally no. Magnuson-Moss applies to consumer products, meaning products normally used for personal, family or household purposes, and the FTC says it does not apply to warranties on products sold for commercial purposes. Commercial sales in the US are still subject to implied warranties under each state's version of the UCC unless properly disclaimed. In Canada, provincial sale of goods laws apply.
Are warranty replacement parts duty-free when imported into Canada or the US?
Not automatically. In Canada, CBSA treats replacement goods under their normal tariff classification with full customs duties, though GST/HST relief may apply. In the US, warranty repairs done abroad are dutiable on the value of the repair (HTSUS 9802.00.40) unless a trade agreement applies, and we found no general exemption for free replacement parts. Duty refunds or drawback may be available for defective goods that are exported. Confirm with a customs broker.
Can a damaged robot battery be shipped back to the factory in China?
Not by air. Damaged or defective lithium batteries that could overheat, catch fire or short circuit are forbidden on aircraft under IATA rules and Canadian TDG special provision 137. US rules allow them only by road, rail or vessel with special packaging. Many OEMs accept photos, logs and a local recycling certificate instead of the physical battery.
What is a no-fault-found policy for robot service visits?
It says who pays when a technician visits and finds no defect. A workable rule: if the remote triage script was followed and nothing was found on site, the OEM pays. If triage was skipped at the customer's request, the visit is billable to the dealer or customer. Repeated no-fault-found visits on one site trigger a training review.
Sources
- FTC, Businessperson's Guide to Federal Warranty Law: ftc.gov
- UCC § 2-314 and § 2-316: law.cornell.edu, law.cornell.edu
- BC Sale of Goods Act, RSBC 1996 c. 410 (ss. 17, 18, 20, 69): bclaws.gov.bc.ca
- CBSA Memorandum D8-2-26 (goods repaired in free trade partner countries; replacement goods): cbsa-asfc.gc.ca; D8-2-10 (repairs and replacements): cbsa-asfc.gc.ca
- Customs Act s. 76: laws-lois.justice.gc.ca; CBSA D6-2-3 (refund of duties): cbsa-asfc.gc.ca; D6-2-4 (defective parts): cbsa-asfc.gc.ca
- HTSUS Chapter 98 (9801.00.10, 9802.00.40/50, U.S. note 3): hts.usitc.gov; 19 CFR 10.8: law.cornell.edu; 19 U.S.C. 1313 (drawback): law.cornell.edu
- IATA Lithium Battery Guidance Document: iata.org; 49 CFR 173.185: law.cornell.edu; Transport Canada, transporting batteries: tc.canada.ca
- BC Government, permanent daylight saving time (March 2, 2026): news.gov.bc.ca
- Published warranty terms quoted: Boston Dynamics Spot Terms and Conditions of Sale: bostondynamics.com; Yaskawa America warranty policy (drives and motion): yaskawa.com; Pudu store warranty policy (SH1): pudurobotics.com; Ruijie standard warranty terms: ruijie.com; True Manufacturing USA warranty labour reimbursement: truemfg.com
- FCC Covered List FAQ and robots: see sources in our FCC Covered List note
Hours and example costs on this page are illustrative estimates, not measured data. KeepRobots rates are current published rates and may change; taxes, parts and travel outside the core area are extra. Published warranty terms are quoted as examples of how other companies write these clauses, as of 2026-10-16, and may change. Legal and customs summaries are for orientation only; confirm with qualified counsel and a licensed customs broker.