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Renee Signed the Acme T-Shirt Company's Purchase Order for an Order

Question 36

Multiple Choice

Renee signed the Acme T-shirt Company's purchase order for an order of 200T-shirts with the picture of a polar bear wearing sunglasses on the front to sell through her retail shop. The contract contained a term that stated "Seller warrants that the goods will be of merchantable quality." On receiving the T-shirts, Renee discovered the logo of the polar bear had been printed upside-down. Which of the following statements best describes Renee's legal position?


A) The court will decide whether the defective printing of the logo is a breach of a condition or a warranty.
B) The Sale of Goods Act will specify whether the defective logo is a breach of condition or warranty.
C) This is a breach of a condition and Renee can cancel the contract.
D) The terms of the purchase order will determine if this clause is a condition or a warranty.
E) Renee will be awarded pecuniary and punitive damages.

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