Me Again wrote:
Isn't that fraud on part of the dealership? At a minimum manufactured could pull their dealership.
That depends on whether the modifications effected the warranted part. Manufacturers primarily leave it up to the dealers to decide what is submittable for warranty. The dealer could have proven that the modification had no effect on the broken part and it is up to the manufacturer to accept or reject the claim. At least that is how it is done with every dealership I worked for.
You also have instances where they sell a third party warranty as a part of the performance package or the broken part was a known defect and was apart of a TSB(Technical Service Bulletin). To many variables to know, but many just assume the worst even though they do not know how the whole process works.