Exam 18: Product Liability Law

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Which of the following warranties can be disclaimed by a seller?

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D

Goods that are fit for the purpose for which they would ordinarily be used are called ____________________.

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merchantable goods

Product liability suits may be based on

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Suing under the negligence theory of product liability is often an unsatisfactory remedy for the injured plaintiff to pursue because proving specific acts of negligence on the part of the defendant is difficult.

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An express warranty is created when the seller does or says something that induces the customer to buy the product.

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The following statement was printed on a tag attached to an electric clock: "Warranted for one year from date of purchase against original factory imperfections in materials and workmanship." This warranty statement on the tag represents an

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Most product liability lawsuits are based on the theory of negligence.

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Generally, the trend in modern court cases is that anyone who is injured by a defective product may sue.

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Statements by salespersons expressing their opinions about the products they sell constitute express warranties.

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The implied warranty of merchantability does not apply in which of these situations?

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Wilson went to the Costal Camera Co. to purchase a digital camera. Not knowing much about digital, she worked with a salesperson she thought could help her. After looking and testing several cameras, she narrowed her choice down to a particular camera and asked the salesperson: "Is this camera complicated to use?" The salesperson replied: "Anyone can work this camera, even my three year old daughter." Relying on this statement, Wilson purchased the camera she had selected. The salesperson's statement is a(n)

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Under the theory of strict liability the injured party suing simply needs to show that the product was unreasonably dangerous at the time it left the manufacturer's or other seller's control and that an injury resulted.

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A warranty given by the seller after the sale

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Grill Lovers, a Manufacturing Co. that makes gas grills for outdoor cooking, sold several of its grills to Premier Home Company located in a large city. Ferris, who purchased a gas grill from Premier, was seriously injured while grilling steaks outside for a family outing. The injury resulted from a manufacturing defect in the gas line which caused an explosion as he was cooking over the grill. In a product liability suit based on strict liability, Ferris may bring a law suit against:

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Part of the purchase price you pay for goods includes the cost of the warranty.

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For a statement made by a seller to a buyer to become a(n) ____________________ warranty, the statement must be part of the basis of the sale.

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Monchessa went to a fabric store to purchase fabric to make herself a suit. The sales person showed her several bolts of fabric. She picked out the fabric she wished to buy but was told there wasn't enough to make a suit but that she would order a bolt from the manufacturer. The salesperson assured Monchessa that the fabric she ordered "would match exactly the fabric she had selected." The salesperson's statement is

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A(n) ____________________ warranty given under the Magnuson-Moss Warranty Act requires that a defective product be repaired within a reasonable time at no cost to the owner.

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Under the UCC the seller may add a statement in the contract selling her goods that excludes certain ____________________.

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Only ____________________ may make the warranty of merchantability.

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