Express and Implied Warranties - Feb. 1 Flashcards
What is a warranty? (Chinen)
A warranty is a statement of representation made by a seller that goods meet certain standards of quality, safety, performance, and title. (Video Lecture on Express and Implied Warranties)
What is an express warranty? (Chinen)
An express warranty is a seller’s promise or guarantee as to the safety, performance, and durability of goods being sold; may arise from the surrounding circumstances. (Video Lecture on Express and Implied Warranties)
How can an express warranty be formed? (Chinen) (Studicata) (UCC)
An express warranty can be formed when the seller:
(a) provides a model of the good that the buyer relies upon as evidence.
(b) describes attributes about the goods to the buyer
(c) makes specific oral or written statements or promises to the buyer about the goods that are part of the basis of the bargain.
(Video Lecture on Express and Implied Warranties) (Warranties: Creation and Disclaimer) (2-313(1))
What is an implied warranty of merchantability? (Chinen) (UCC) (Studicata)
An implied warranty of merchantability states the goods “must be of a quality comparable to that generally acceptable in that line or trade.” Fit for ordinary commercial purposes.
(Video Lecture on Express and Implied Warranties) (2-314(1)) (Warranties: Creation and Disclaimer)
What is an implied warranty of fitness for a particular purpose? (Chinen)
An implied warranty of fitness for a particular purpose applies when the buyer demonstrates that he relied on the seller’s skill or judgment to select the goods for a particular purpose, and the seller had reason to know of the reliance.
(Video Lecture on Express and Implied Warranties)
What is a warranty? (DeLong)
A warranty is contractual promise to be responsible for the truth of a statement of fact. (31)
What is a warranty of title? (DeLong)
Warranty of title guarantees that the buyer will be the rightful owner of the goods. (31)
Is it necessary to the creation of an express warranty that the seller use formal words such as “warrant,” “guarantee,” or that he have a specific intention to make a warranty? (UCC) (Studicata)
No. It is not necessary to the creation of an express warranty that the seller use formal words such as “warrant” or “guarantee” or that he have a specific intention to make a warranty, but an affirmation merely of the value of the goods or a statement purporting to be merely the seller’s opinion or commendation of the goods does not create a warranty. (2-313(2)) (Warranties: Creation and Disclaimer)
What is an implied warranty of fitness for a particular purpose? (UCC) (Studicata) (DeLong)
Under UCC § 2-315, where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller’s skill or judgment to select or furnish suitable goods, there is an implied warranty that the goods shall be fit for such purpose. (Warranties: Creation and Disclaimer)
(1) the purchaser at the time of contracting intends to use the goods for a particular purpose
(2) the seller at the time of the contract has reason to know of this particular purpose
(3) the buyer relies on the seller’s skill or judgement to select or furnish goods suitable for the particular purpose
(4) the seller at the time of contracting has reason to know that the buyer is relying on such skill and judgment (38)
Does a seller need to be a merchant for an implied warranty of fitness for a particular purpose to apply? (UCC) (Studicata)
The seller need NOT be a merchant for this implied warranty to apply. (Warranties: Creation and Disclaimer)
What does it mean that express warranties are SAD?
Express warranties are SAD:
S – SAMPLE or model, which is the basis of the bargain
A – Written or oral AFFIRMATION of fact or promise made by the seller relating to the goods
D – DESCRIPTION of the goods in advertisements, brochures, or catalogs
