Warranties Flashcards
Express warranties
distinguish from sales talk which is more general and more of an opinion
Implied warranty of merchantability
when any person buys any goods from any merchant who deals in goods of that kind, a term is automatically added to the contract by law that the goods are fit for the ordinary purpose for which such goods are used
Implied warranty of fitness for a particular purpose
1) buyer has a particular purpose
2) buyer is relying on seller to select suitable goods
3) seller has reason to know of purpose and reliance
4) warranties the goods for a particular purpose
Contractual limits on warranties
1) disclaimer eliminates implied warranties only
2) look for language of “as is” or “with all faults”
3) OR conspicuous language of disclaimer mentioning merchantability
Contractual limits on remedies for breach of warranty
1) possible to limit for even express warranties
2) general test is unconscionability
3) prima facie unconscionable if breach of warranty on consumer goods causes personal injury