Question 1

The use of a sample or model is a means of creating an implied warranty.

Accepted Answer

A) True 
 B)False  False

Question 2

Which of the following is NOT included within the Code definition of merchantability?

Accepted Answer

A)  Reasonably fit for the ordinary purposes for which the goods are used 
B)  Pass without objection in the trade under the contract description 
C)  In the case of secondhand goods that they be of a quality that matches that of new goods of the same type. 
D)  Are of fair, average quality. 
A)  Reasonably fit for the ordinary purposes for which the goods are used 
B)  Pass without objection in the trade under the contract description 
C)  In the case of secondhand goods that they be of a quality that matches that of new goods of the same type. 
D)  Are of fair, average quality. C

Question 3

The warranty of title for the sale of goods found in Article 2 of the Code:

Accepted Answer

A)  may be excluded with the phrase "as is." 
B)  is labeled as an implied warranty. 
C)  may not be excluded or modified by the seller. 
D)  will apply regardless of whether it is provided for in the contract unless the parties have specifically excluded it or it is excluded by certain circumstances. 
A)  may be excluded with the phrase "as is." 
B)  is labeled as an implied warranty. 
C)  may not be excluded or modified by the seller. 
D)  will apply regardless of whether it is provided for in the contract unless the parties have specifically excluded it or it is excluded by certain circumstances. D

Question 4

The Code does not label the warranty of title as an implied warranty, despite the fact that it arises out of the sale and not from the words or conduct of the parties.

Accepted Answer

A) True 
 B)False

Question 5

If the seller of goods is an expert and gives an opinion with regard to the goods, the seller may be liable for breach of warranty.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following would NOT be considered a breach of the warranty of merchantability in some jurisdictions?

Accepted Answer

A)  A piece of glass in a bottle of cola 
B)  A stone in a can of vegetable soup 
C)  A cherry pit in a can of cherry pie filling 
D)  A leaking plastic bottle containing bleach 
A)  A piece of glass in a bottle of cola 
B)  A stone in a can of vegetable soup 
C)  A cherry pit in a can of cherry pie filling 
D)  A leaking plastic bottle containing bleach

Question 7

Article 2A, in a provision analogous to Article 2's warranty of title provision, protects the lessee's right to possession and use of the goods from claims of other parties arising from an act or omission of the lessor.

Accepted Answer

A) True 
 B)False

Question 8

Bradley buys a television set that turns out to be stolen. He can sue the seller for breach of warranty.

Accepted Answer

A) True 
 B)False

Question 9

The Magnuson-Moss Warranty Act was enacted to protect purchasers of consumer goods.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is not an express warranty?

Accepted Answer

A)  Restating facts or market figures about a product 
B)  The opinion of an expert in a certain field regarding a product in that field 
C)  A statement of the product specifications 
D)  The seller's opinion of the value of goods 
A)  Restating facts or market figures about a product 
B)  The opinion of an expert in a certain field regarding a product in that field 
C)  A statement of the product specifications 
D)  The seller's opinion of the value of goods

Question 11

What are the essential requirements for strict product liability?

Accepted Answer

The requirements are that (a) the defend

Question 12

The early common law required privity of contract before a plaintiff could sue a defendant for breach of warranty.

Accepted Answer

A) True 
 B)False

Question 13

Answer the following:
a.  Under the Code, what constitutes an "express" warranty? Does an express warranty have to arise through words?
Which of the following would be an express warranty? Explain. (1) This is the best computer available in town. (2) This car has new brakes. (3) This sample is just like the one in the box.
b. (4) In my opinion, this is a better video recorder than the one made by this competitor. (5) As a mechanic, I think this car is in good running order and should give you no problems for at least three months.

Accepted Answer

An express warranty is an explicit under

Question 14

Statutes of repose were enacted to give consumers more rights against large manufacturers.

Accepted Answer

A) True 
 B)False

Question 15

Kera rented a lawn mower from Scott Rentals. The mower wheel was loose when she picked it up. When she began to use the mower, the wheel fell off, causing the mower to tip over onto her foot. Under what theory can Kera hold Scott liable for her injuries?

Accepted Answer

A)  Breach of warranty of merchantability 
B)  Breach of warranty of title 
C)  Strict liability in tort for a defective design 
D)  All of these. 
A)  Breach of warranty of merchantability 
B)  Breach of warranty of title 
C)  Strict liability in tort for a defective design 
D)  All of these.

Question 16

A, a wholesale distributor, sells to B, a retail dealer, a set of defective tires manufactured by X, a reputable manufacturer. Both A and B believed the tires to be in perfect condition, although neither party has inspected the tires. C purchases the tires from B and is injured because the defective tires blew out. Who, if anyone, is liable to C in strict liability?

Accepted Answer

A)  A, B, and X share liability to C under strict liability. 
B)  Only X, who manufactured the tires, has strict liability. 
C)  Only B, who sold the defective tires to C, has strict liability. 
D)  No one has strict liability in this case. 
A)  A, B, and X share liability to C under strict liability. 
B)  Only X, who manufactured the tires, has strict liability. 
C)  Only B, who sold the defective tires to C, has strict liability. 
D)  No one has strict liability in this case.

Question 17

Geoff's fiancée, Susan, comes to meet his parents for the weekend. On Saturday morning, while using Geoff's mother's hair dryer, the blower short-circuits sending sparks across the guest room. Susan's angora sweater and her hands are covered with tiny burns. Susan's mother is a lawyer and wants her to sue the seller of the dryer for breach of warranty. Can she?

Accepted Answer

A)  No, because horizontal privity would extend only to members of the family. 
B)  No, because privity would require that Geoff's mother sue. 
C)  Yes, since she is a guest in the home of the buyer, the warranties would extend to her in most states. 
D)  Yes, since under the Code all reasonable users are protected from injury. 
A)  No, because horizontal privity would extend only to members of the family. 
B)  No, because privity would require that Geoff's mother sue. 
C)  Yes, since she is a guest in the home of the buyer, the warranties would extend to her in most states. 
D)  Yes, since under the Code all reasonable users are protected from injury.

Question 18

Both design and manufacturing defects can subject a manufacturer or seller to products liability.

Accepted Answer

A) True 
 B)False

Question 19

In bringing a warranty action, the buyer must prove:

Accepted Answer

A)  whether the warranty was express or implied. 
B)  that breach of the warranty proximately caused the loss suffered. 
C)  reliance on the affirmations, promises, descriptions, samples, or models the seller made or used. 
D)  All of these. 
A)  whether the warranty was express or implied. 
B)  that breach of the warranty proximately caused the loss suffered. 
C)  reliance on the affirmations, promises, descriptions, samples, or models the seller made or used. 
D)  All of these.

Question 20

Which of the following is generally NOT a defense to a claim against a manufacturer under 402A?

Accepted Answer

A)  Contributory negligence on the part of the plaintiff 
B)  Express assumption of the risk 
C)  Misuse or abuse of the product 
D)  Subsequent alteration of the product by the plaintiff 
A)  Contributory negligence on the part of the plaintiff 
B)  Express assumption of the risk 
C)  Misuse or abuse of the product 
D)  Subsequent alteration of the product by the plaintiff

Exam 24: Products Liability: Warranties and Strict Liability in Tort

The use of a sample or model is a means of creating an implied warranty.

Which of the following is NOT included within the Code definition of merchantability?

The warranty of title for the sale of goods found in Article 2 of the Code:

The Code does not label the warranty of title as an implied warranty, despite the fact that it arises out of the sale and not from the words or conduct of the parties.

If the seller of goods is an expert and gives an opinion with regard to the goods, the seller may be liable for breach of warranty.

Which of the following would NOT be considered a breach of the warranty of merchantability in some jurisdictions?

Article 2A, in a provision analogous to Article 2's warranty of title provision, protects the lessee's right to possession and use of the goods from claims of other parties arising from an act or omission of the lessor.

Bradley buys a television set that turns out to be stolen. He can sue the seller for breach of warranty.

The Magnuson-Moss Warranty Act was enacted to protect purchasers of consumer goods.

Which of the following is not an express warranty?

What are the essential requirements for strict product liability?

The early common law required privity of contract before a plaintiff could sue a defendant for breach of warranty.

Statutes of repose were enacted to give consumers more rights against large manufacturers.

Kera rented a lawn mower from Scott Rentals. The mower wheel was loose when she picked it up. When she began to use the mower, the wheel fell off, causing the mower to tip over onto her foot. Under what theory can Kera hold Scott liable for her injuries?

Both design and manufacturing defects can subject a manufacturer or seller to products liability.

In bringing a warranty action, the buyer must prove:

Which of the following is generally NOT a defense to a claim against a manufacturer under 402A?

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance, Breach, and Discharge

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature, Formation, and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Antitrust

Consumer Protection

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property, Property Insurance, Bailments, and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

the Legal Environment of Business

Contracts

Agency

Sales

Negotiable Instruments

Unincorporated Business Associations

Corporations

Debtor and Creditor Relations

Regulation of Business

Property

Filters