Exam 18: Product Liability Law

What is the difference between an express warranty and an implied warranty?

Product liability refers to the liability manufacturers or other sellers have only to immediate purchasers for physical injury caused by defective products they place on the market.

____________________ refers to the contract relationship that exists between a seller and a buyer.

The Magnuson-Moss Warranty Act covers only ____________________ warranties.

Is it possible to hold a seller liable for injuries caused by a defective product in spite of showing due care?

A warranty obligation imposed by law upon the seller is a(n) ____________________ warranty.

List and briefly describe the three types of defects that are the cornerstone of a person's case in a lawsuit for product liability based on a defective product.

An oral warranty made by the seller before or at the time of a sale that is contrary to the terms stated in the written warranty is not binding.

The implied warranty of merchantability applies only to merchants who sell to other merchants.

The Magnuson-Moss Warranty Act requires manufacturers to provide written warranties.

According to the Magnuson-Moss Warranty Act, which of the following statements is true?

In a sale of goods, the use of the term "as is" indicates

Quinby ordered a snowplow, specifying that it must be suitable for heavy-duty use on country roads. Quinby found the snowplow not at all suitable for this use. The seller of the plow may be held liable for breach of warranty of

Under Article 2 of the UCC goods sold by merchants may be covered by a warranty. An example of an express warranty would be a warranty of

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 order to be successful in his lawsuit, which is based on strict liability, Ferris must present proof that

Below are four statements made by salespeople to customers. In each case, a customer made a purchase relying on the statement, the statement proved to be false, and the customer suffered a loss. Which statement would most likely serve as the basis for a successful suit for breach of warranty?

The test of merchantability in the case of foods is generally what a reasonable person can expect to find in the food. Which of the following would most likely show a breach of this warranty?

Martin Taylor purchased an electric shaver for cash from the Arco Department Store for $125.95. The following manufacturer's statement was printed on a tag attached to the razor: "Warranted for ninety days from date of purchase against original factory imperfections in materials and workmanship." Taylor took the razor for a slight adjustment two weeks after he bought it. He expressed some concern about the short warranty period of ninety days offered by the manufacturer. The store manager replied, "Don't worry, I will give you an additional store warranty of one year against all defects and, if necessary, will replace the razor with a new one." This statement by the store manager would be

Marla went to Office Works to purchase a thumb drive to use in gathering research material for an article that her college advisor asked her to write for the school newspaper. She asked for suggestions as to a good brand of thumb drive to purchase. The store manager who waited on her said that the USRDV brand was the "best buy out of all the brands the store carried." This statement was

An express warranty to be valid must be based on ____________________ not just someone's opinion.