Business law teacher Julie was very sensitive about her upcoming 50th birthday. Her students decided to surprise her with a cake. On behalf of her class, Damon, a student, went to the bakery and ordered a cake that said "Happy Birthday - You Look Great!" The salesclerk said there would be no problem having the cake ready and that it should make the birthday girl feel great. Damon was in a big hurry when he picked up the boxed cake, and although the salesclerk asked Damon to take a look at the cake, he declined. Unfortunately, when the cake was opened in class, the icing read, "Happy Birthday - You Look Gray!" The students were mortified, and Julie stormed off angrily, vowing to give a difficult final. Which of the following is true regarding the warranties the bakery breached, if any?
A) Because the salesclerk promised that there would be no problem with the cake, the bakery breached an express warranty and is liable for damages.
B) The bakery breached the warranty of merchantability and is liable for damages.
C) Because the salesclerk promised that the cake would make the birthday girl feel great, the bakery breached the implied warranty of fitness for a particular purpose and is liable for damages.
D) Because food was involved, no warranties were made.
E) Because Damon failed to inspect the cake, he waived implied and express warranties.
Correct Answer:
Verified
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