Warranties are typically provided for a new piece of equipment or a part. They are most likely provided by the manufacturer of the item, but may at times be backed by the supplier. Warranties stipulate that the provider will cover costs incurred as a result of failure of the item for a specified amount of time or usage, as well as indicate any exceptions to this coverage. If the failure falls within the guidelines of the terms of the warranty, the repair costs (labor and materials) can be billed back to the manufacturer.