Question 1

In order to disclaim a warranty of fitness for a particular purpose,a merchant:

Accepted Answer

Under the Uniform Commercial Code (UCC), a merchant may disclaim the implied warranty of fitness for a particular purpose with language that is clear and conspicuous. The disclaimer must also be brought to the buyer's attention before the sale is completed.

Question 2

Henry,a tomato producer,purchases 15 gallons of a new herbicide from GardenWorld to get rid of weeds.Henry bought the herbicide without consultation with GardenWorld for suggestions.Although Henry correctly knew that any herbicide would kill the weeds in his garden,after he sprayed the new herbicide,he realized that it did not kill the weeds.The weeds even seemed to grow! Did GardenWorld breach a warranty?

Accepted Answer

The implied warranty of merchantability ensures that a product will work as expected for its ordinary purpose. Since the herbicide did not kill the weeds, it may not have been fit for its ordinary purpose, potentially breaching this warranty.

Question 3

M & E sold a lathe "AS IS" to Brenna.M & E has disclaimed:

Accepted Answer

M & E has disclaimed all implied warranties, meaning they did not make any promises or guarantees about the condition or performance of the lathe. This would include any implied warranty of merchantability or fitness for a particular purpose. However, this does not necessarily absolve M & E from liability for any intentional or reckless actions or misrepresentations, or if there are any express warranties made.

Question 4

Which of the following is not guaranteed under an implied warranty?

Accepted Answer

An implied warranty guarantees that the goods are merchantable, free of hidden security interests or liens, and not subject to a rightful claim by a third party. However, it does not guarantee the right to return the goods for a refund or replacement in the event of any defect.

Question 5

Alice's Aspirin Inc.,produces and packages aspirin for sale to retail stores.Bob buys a bottle of Alice's aspirin at Dahl's Food Stores.Two days later Bob's friend,Hank,takes two aspirin while at Bob's house.Within minutes,Hank is very ill and is rushed to the hospital,where it is found that a defect in the aspirin caused the reaction.Which of the following is correct?

Accepted Answer

Hank can sue both Alice's Aspirin Inc. and Dahl's Food Stores under product liability tort theories as he is an injured party due to the defective product. It is not necessary for the injured party to be in privity of contract with the manufacturer or retailer for a product liability claim. Assuming the risk defense is not applicable here as Hank had no knowledge of the defect in the aspirin. Hank can recover consequential damages for his medical expenses as they are a direct result of the defect in the product.

Question 6

Lemon laws,which assist consumers who have purchased automobiles that turn out to be "lemons,":

Accepted Answer

Lemon laws are state laws that are enacted by state legislatures. They vary from state to state and provide protection to consumers who have purchased automobiles that turn out to be "lemons."

Question 7

Crytrin Manufacturing,Inc.contracted with Molfrey,Inc.to manufacture three large pieces of equipment.The contract contained a clause stating that Crytrin agreed to repair or replace any defective equipment,but that was the only remedy Molfry would have.This clause:

Accepted Answer

The clause in the contract is a limitation of remedy clause, which limits or excludes normal remedies permitted under the Uniform Commercial Code (UCC). While it may limit Molfrey's remedies and rights, it is generally enforceable as long as it is not unconscionable or otherwise violates public policy. However, this clause does not exclude consequential damages, which can still be recovered under certain circumstances. It also does not limit any express warranties made by Crytrin, which would be addressed in a separate provision of the contract.

Question 8

A sales representative at Oxtren,Inc orally told the purchasing agent at Wety,Inc.that its industrial saw is exceptional.Which statement is correct concerning the claim that the saw is exceptional?

Accepted Answer

The statement made by the sales representative is considered sales puffery, which is exaggerated praise or subjective opinions that cannot be proved true or false. It is not a warranty because it does not make any specific promises or guarantees about the product's performance or quality, and it is not an express warranty because it was not made in writing.

Question 9

In the case Uniroyal Goodrich Tire Company v.Martinez,the Texas Supreme Court ruled that:

Accepted Answer

The Texas Supreme Court ruled that even if the warnings were adequate, the manufacturer still had a duty to use a safer design if it was feasible, thus holding the manufacturer liable.

Question 10

A merchant seller who would like to exclude the warranty of merchantability can do so by doing which of the following?

Accepted Answer

A merchant can exclude the warranty of merchantability by doing any of the above mentioned options. Option A means that the goods are sold without any warranties and the buyer is taking the risk of any defects or malfunctions. Option B means that the goods are sold with all known and unknown faults and the buyer is not entitled to any compensation or repairs. Option C means that the seller has explicitly stated that the warranty of merchantability is excluded, which means that the buyer cannot claim any legal rights related to the quality or fitness for use of the goods. Overall, a seller can exclude the warranty of merchantability but it should be done in a conspicuous and clear manner so that the buyer is fully aware of the terms and conditions of the sale.

Question 11

Van is using his wrench as a hammer when the wrench breaks and a piece flies off,injuring his neighbor who is helping Van change a tire on Van's car.If Van sues the tool manufacturer,its best defense will be:

Accepted Answer

The best defense for the tool manufacturer would be that Van misused the product by using it as a hammer, which is not its intended use. This defense falls under the category of "product misuse," which means that the product was used in a way that was not intended or recommended by the manufacturer. In this case, using the wrench as a hammer likely caused it to break and become dangerous.

Question 12

In order to establish strict liability,the plaintiff must prove that:

Accepted Answer

To establish strict liability, it is necessary for the plaintiff to only prove that the seller sells normally the kind of product that was defective. The other options mentioned in the question may be necessary to establish other forms of liability, but for strict liability, the focus is solely on the product and its defects.

Question 13

In the case Goodman v.Wenco Foods,Inc.,the Supreme Court of North Carolina addressed the issue of:

Accepted Answer

The Supreme Court of North Carolina addressed the issue of implied warranty of merchantability in the case of Goodman v. Wenco Foods, Inc.

Question 14

A sales representative at Oxtren,Inc.orally told the purchasing agent at Wety,Inc.that its industrial saw will cut through metal up to 5 inches thick.Wety purchased the saw.Which statement is correct concerning the claim that the saw can cut through metal up to five inches thick?

Accepted Answer

The sales representative's statement is an express warranty, which is a specific promise made by the seller about the product that becomes part of the basis of the bargain. It is not considered sales puffery, as it is a specific and measurable claim. While it is not in writing, an express warranty can be made orally. It is not an implied warranty of merchantability, as this guarantee pertains to the overall quality and fitness for use of the product, not a specific feature like cutting through metal up to a certain thickness.

Question 15

Daddy buys an electric car for his 10-year-old son.Daddy follows the directions for assembly carefully,but the son gets an injuring shock when he sits in the car.If Daddy and son sue the manufacturer for negligence,they will:

Accepted Answer

In order for Daddy and son to be successful in their lawsuit against the manufacturer, they must prove that the manufacturer failed to use reasonable care in designing, manufacturing, or warning the purchasers about intended uses and foreseeable misuses. This is the standard for negligence in product liability cases. The fact that the car was sold "AS IS" does not necessarily absolve the manufacturer of liability if they were negligent in their design or manufacturing. Additionally, privity of contract is not necessary for a person to bring a product liability lawsuit against a manufacturer.

Question 16

In a breach of warranty case,the buyer must:

Accepted Answer

In a breach of warranty case, the buyer must notify the seller of defects within a reasonable time. This is typically interpreted as within a few weeks or months after the discovery of the defect, but it depends on the circumstances of the case. The other choices are not accurate or complete explanations of the buyer's obligations in a breach of warranty case.

Question 17

If a product is sold "as is",that means that:

Accepted Answer

"As is" means that the seller has disclaimed all implied warranties that the product will function as intended. However, it does not necessarily mean that the seller is disclaiming all warranties. The seller may still be held liable if the product is not fit for its ordinary purpose under the implied warranty of merchantability.

Question 18

Bill is injured while standing on the corner of Hollyhock and Vine when Mia's new Hog speeds out of control because of a defective part.In most jurisdictions,Bill:

Accepted Answer

In most jurisdictions, Bill can sue the motorcycle manufacturer even though he was only a bystander. This is because the manufacturer has a duty to produce a safe product and may be held liable for any injuries or damages that result from a defective part, even if the injured party was not the purchaser or user of the product.

Question 19

Which of the following would be a breach of the implied warranty of merchantability?

Accepted Answer

The answer of Which of the following would be a...

Question 20

When Angelena was shopping for a new lawn mower,the salesman,Mark,told her the model she was interested in cuts an 18" swath and the only maintenance it needs is an oil change and a new sparkplug at the beginning of each mowing season.He hands her a warranty booklet which describes that model as a mulching mower and says it has a five-year full warranty.The booklet also disclaims "any warranties or statements made by any agent or salesperson or that appear elsewhere in this booklet." The effect of the written disclaimer is:

Accepted Answer

The answer of When Angelena was shopping for a new...

Quiz 20: Warranties and Product Liability