Question 1

_____ is the plaintiff's voluntary consent to a known danger.

Accepted Answer

Assumption of risk is the plaintiff's voluntary consent to a known danger. It means that the plaintiff knew the risks of a certain activity or situation, but still chose to engage in it. As a result, the plaintiff cannot hold the defendant liable for any harm or injury suffered.

Question 2

Delbert Cars sells Jim a nice new model. Unfortunately for Jim, a defect in the car's brakes causes them to fail; in turn causing an accident that totals the car and puts Jim in the hospital. Jim sues (among others) Delbert, arguing that Delbert was negligent in failing to inspect the brakes for defects. All Delbert did was to drive the car around the block to see if it ran as it should. Under what conditions might Delbert be liable here? Under what conditions will it escape liability?

Accepted Answer

The answer of Delbert Cars sells Jim a nice new...

Question 3

Which damages are especially awarded by the court to punish the defendant?

Accepted Answer

Punitive damages are awarded by the court solely to punish the defendant for their wrongful conduct, such as intentional or malicious behavior. They are meant to deter the defendant and others from engaging in similar behavior in the future. Compensatory damages are awarded to compensate the plaintiff for their losses or injuries, and monetary damages are any damages awarded in the form of money. Liquidated damages are a pre-determined amount of damages agreed upon in a contract.

Question 4

Sellers of goods sometimes attempt to disclaim (avoid) their liability under warranties. Which type of warranty disclaimers must be written in order to be effective?

Accepted Answer

Disclaimers of the warranty of fitness for a particular purpose must be in writing in order to be effective. This is because this type of warranty arises when a seller knows or has reason to know the buyer's particular purpose for using the goods, and the buyer is relying on the seller's skill and judgment to select suitable goods. Therefore, the disclaimer of this warranty must also be in writing to ensure that the buyer is aware of and has agreed to the disclaimer.

Question 5

Adam decides to eat food despite knowing that it is adulterated and brags about it to Dee. Later Adam falls sick from infection. Adam sues the supplier of the said food for injury suffered by him. The defense which can be taken by the food supplier is:

Accepted Answer

The defense of assumption of risk can be taken by the food supplier as Adam willingly chose to eat adulterated food despite being aware of its harmful properties, thus assuming the risk of falling sick. Contributory negligence, product misuse, and comparative responsibility do not apply in this case as the fault solely lies with Adam.

Question 6

Which of the following factors is most important in determining whether a manufacturer is strictly liable in tort for a defective product?

Accepted Answer

The most important factor in determining whether a manufacturer is strictly liable in tort for a defective product is whether the product caused injuries. Strict liability means that the manufacturer is responsible for any injuries that are caused by a defect in the product, regardless of the manufacturer's negligence or the plaintiff's contributory negligence. The manufacturer is also responsible for any modifications made to the product by the wholesaler, as they are still responsible for ensuring that the product is safe for use by the consumer.

Question 7

Bob, an attorney, purchased licensed software from Bill Able Inc. to prepare his clients' invoices online. The shrinkwrap packaging for the program disks and the software manuals contained a limitations of remedies clause which limited the buyer's remedies to the $50.00 purchase price of the software. Bob later discovered that his invoices for the past year were too low due to a malfunction in the software, costing him over $10,000 in lost revenue. Bob sues Bill Able Inc. for breach of warranty. What is the likely result?

Accepted Answer

In this case the disclaimer is effective under the limitation of remedies clause.Hence,Bob cannot recover any damages.

Question 8

Lazur Corp. entered into a contract with Baker Suppliers, Inc. to purchase a used word processor from Baker. Lazur was engaged in the business of selling new and used word processors to the general public. The contract required Baker to ship the goods to Lazur by common carrier pursuant to the following provision in the contract: "FOB - Baker Suppliers, Inc. loading dock." Baker also represented in the contract that the word processor had been used for only 10 hours by its previous owner. The contract included the provision that the word processor was being sold "as is" and this provision was in larger and different type style than the remainder of the contract. With regard to the contract between Lazur and Baker:

Accepted Answer

It is the seller's duty to guarantee the quality of the product he sells.In this case,the "as is" provision does not prevent Baker from liability for the breach of express warranties such as negligence,etc.

Question 9

Several firms within an industry are involved in manufacturing a harmful product. It is impossible to prove which firm produced the product and caused injury. Identify the type of liability that would arise in these circumstances.

Accepted Answer

The legal theory called industrywide liability is a way for plaintiffs to bypass problems of causation that exist where several firms within an industry have manufactured a harmful standardized product,making it impossible for the plaintiff to prove which firm produced the product that injured her.

Question 10

A(n) _____ is a clause attempting to block recovery of certain damages.

Accepted Answer

A remedy limitation is a clause in a contract that limits the recovery of certain damages. It is often used to limit a party's liability in the event of a breach of contract or other legal dispute. The other choices (promissory estoppel, condition subsequent, and implied warranty) do not relate specifically to limiting damages in a contract dispute.

Question 11

Steve weighs 465 pounds and looks like it. Steve goes to a store and says that he would like to buy a hammock suitable for someone like himself to sleep in. He makes it clear that it is up to the salesman to select a suitable hammock. The salesman selects a hammock that is perfectly suitable for a normally-sized person but that cannot support someone of Steve's weight. Relying on the salesman's recommendation, Steve buys the hammock. After he is injured when the hammock collapses because it cannot bear his weight, Steve sues the store. Can Steve recover under the implied warranty of merchantability? Assume that the store is a merchant with respect to hammocks.

Accepted Answer

The answer of Steve weighs 465 pounds and looks like...

Question 12

Which of the following is used by sellers to eliminate any kind of liability that may be claimed by an injured buyer?

Accepted Answer

A disclaimer is a statement that is used to eliminate liability that may be claimed by an injured buyer. It basically states that the seller is not responsible for any harm or damages that may occur as a result of using the product. This is often used as protection by sellers against any legal action that may be taken against them in the event of an injury or damage caused by their product. A warranty, on the other hand, guarantees that the product is free from defects and will perform as advertised. A warning is a notice that is given to the buyer to warn them of potential risks associated with using the product. An advertisement is a marketing tool that is used to promote and sell the product.

Question 13

A seller's ability to disclaim implied warranties is sometimes restricted by the doctrine of:

Accepted Answer

The doctrine of unconscionability may restrict a seller's ability to disclaim implied warranties if the disclaimer is deemed unreasonable or oppressive to the buyer. This may occur if there is a significant power imbalance between the parties, or if the disclaimed warranty is fundamental to the purpose of the contract.

Question 14

In January 2003, Evan sold a television set that he stated as "HDTV ready" to Zora. Three months later, Zora learned that the television set was not "HDTV ready." For each of the three major views on the "part of the basis of the bargain" requirement for express warranty liability under UCC Section 2-313, explain what the court will need to know before making a decision.

Accepted Answer

The answer of In January 2003, Evan sold a television...

Question 15

Jason sold Sally a car manufactured by ABC Corp. After driving the car for a couple hours, Sally found that the brakes did not function properly making it extremely difficult for her to control the car. When she finally reached home, she rang up Jason demanding her money back. Jason claimed that she should ideally talk with ABC Corp., who was the manufacturers. According to Jason, he was simply selling the car. Which of the following defenses is Jason using to save himself?

Accepted Answer

Jason is using the defense of no-privity, which means that a party cannot be held liable for a defect in a product that they did not manufacture or sell directly. Therefore, he is suggesting that Sally should contact the manufacturer, ABC Corp., instead.

Question 16

Joe buys a bottle of Coca-Cola. When Joe spots a needle inside the bottle, his buddies dare him to drink the coke. After doing so, Joe suffers physical injury as the needle sticks in his throat. Joe sues Coke under section 402A; Coke defends by arguing assumption of risk on Joe's part. Transylvania court, however, has eliminated assumption of risk as a separate defense in product liability cases. Instead, it has a comparative fault statute just like the statute in the Jimenez case in the text. Under that statute, what is the result of Joe's lawsuit and why? Assume that Coke would be liable under section 402A.

Accepted Answer

The answer of Joe buys a bottle of Coca-Cola. When...

Question 17

What is the usual UCC time limitation for claiming express and implied warranty after the sale of a product?

Accepted Answer

The usual UCC statute of limitations for express and implied warranty claims is four years after the seller offers the defective goods to the buyer.

Question 18

Which of the following theories of recovery is likely to be most effective against a disclaimer of liability?

Accepted Answer

UCC section 2-316(1)says that an express warranty and a disclaimer should be read consistently if possible,but that the disclaimer must yield if such a reading is unreasonable. Because it normally is unreasonable for a seller to exclude with one hand what he has freely and openly promised with the other,it is quite difficult to disclaim an express warranty.

Question 19

John buys a machine for $10,000 under a contract that excludes consequential damages and limits the buyer's remedies to repair and replacement of defective parts. John later discovers that the machine is not working properly. Under these circumstances if the remedy of limitation is enforceable, then, to what extent will John be successful?

Accepted Answer

Since the contract limits the buyer's remedies to repair or replacement of defective parts, John can only get the machine replaced or repaired by the seller. He cannot recover any consequential damages or other costs associated with the malfunction of the machine. This is why choice D is the best answer.

Question 20

Toyota Automobiles launches a new model of SUV. The design of the car was such that the vehicle had a very broad rear. This posed a problem of parking the vehicle in the regular parking space. Adams, the owner of the SUV, had parked his car on one side of the road. Since the vehicle's rear was protruding onto the road, it was hit by a truck and was damaged. Under these circumstances, can Adams sue Toyota for a defective design? Are there any remedies for him to recover?

Accepted Answer

The answer of Toyota Automobiles launches a new model of...

Quiz 20: Product Liability