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About Supplier Recovery Claims

Although Original Equipment Manufacturers (OEM) sell final products to customers and offer warranty coverage for the product, the warranty defects might have originated with a third-party. For example, a supplier might have manufactured a defective product and might therefore be responsible for a warranty failure. In such cases, the OEM's dealer replaces the failed part under warranty and claims a warranty claim expense from the OEM. Because the defect has originated with the supplier, the OEM wants to recover the warranty claim expense from the supplier, which is called a supplier recovery claim. For information about approving or rejecting supplier recovery claims, see Siebel Dealer Administration Guide.