If you’re a homeowner, you’ve undoubtedly received a letter claiming “Your home warranty is about to expire.” These notices often look incredibly official, but in reality, recipients do not have any prior relationship with the company sending them. One might expect these brands to get in trouble for home warranty scams, but it turns out their undoing may be trademark law.

On October 23, 2025, Federal National Mortgage Association – better known as Fannie Mae – filed a trademark lawsuit targeting these companies. In the filing, several defendants are accused of misleading consumers through fraudulent marketing. Consumers have complained about this for years. Fortunately, it seems relief may be on the horizon.

Home Warranty Companies Targeted in Federal Litigation

When homeowners started getting notices claiming their home warranty was about to expire, it raised some eyebrows across the country. People who had no home warranty were receiving these notices. So were folks whose home warranties were far from expiring. The verbiage used would be enough to deceive many, but Fannie Mae alleges these companies went even further.

The complaint targets Warranty Global Group, Inc., Superior Home Protections, LLC, Oasis Home Protection, LLC, and US Home Guard LLC. Fannie Mae alleges that these companies used their well-known service mark (a form of trademark) to deceive consumers into believing the mortgage company offered or endorsed their services.

The examples listed in the complaint probably seem all too familiar to homeowners.

Is Fannie Mae Targeting Home Warranty Scams?

It’s difficult to call the services offered by these home warranty companies a “scam.” After all, they do offer actual insurance. While most of these companies have horrible reviews on the Better Business Bureau website, they are legitimate businesses. Still, their marketing tactics have garnered them a reputation as little more than home warranty scams.

Fannie Mae is a government-sponsored enterprise that purchases mortgages from banks and other lenders. In their filing, the company claims these home warranty brands sent unsolicited marketing materials that featured terminology like “Fannie Mae Mortgage,” “Official Business,” and “Immediate Response Needed.”

While news outlets have been hesitant to use the word “scam,” financial institutions aren’t as diplomatic. Many have warned their clients of these deceptive practices. Interestingly, it might not be false advertising or similar legal issues that get the defendants in trouble. It might be something as simple as trademark infringement.

What Happens Now?

In its complaint, Fannie Mae requested a temporary restraining order to immediately stop the defendants from continuing infringing activities. The company also requested a  trademark injunction — which would permanently force the defendants to cease their alleged deceptive practices. Lastly, the filing requests that the courts award punitive damages.

If Fannie Mae is successful on all fronts, the defendants would have to end any marketing that implies an affiliation or endorsement by the mortgage association. Additionally, punitive damages would be issued as a form of punishment. This legal remedy is intended to deter similar actions in the future. However, the defendants may fight back.

While these brands likely won’t have to answer to allegations of home warranty scams, they will face their day in court over allegedly deceptive practices. There’s no way to predict how this case will resolve. However, the defendants may have an uphill battle if the claims in Fannie Mae’s filing are proven true.