Question 1

Express warranties may be made before, during, but not after the sale of goods.

Accepted Answer

A) True 
 B)False

Question 2

If an express warranty is breached,

Accepted Answer

A)  an action for breach of express warranty is the buyer's exclusive remedy. 
B)  the seller nevertheless has no warranty obligation if the buyer had the opportunity to inspect the goods before purchasing them. 
C)  the warrantor is liable, even if the seller or manufacturer who made the express warranty honestly believed that the warranty was true. 
D)  the seller is not liable for breach of one or more implied warranties. 
A)  an action for breach of express warranty is the buyer's exclusive remedy. 
B)  the seller nevertheless has no warranty obligation if the buyer had the opportunity to inspect the goods before purchasing them. 
C)  the warrantor is liable, even if the seller or manufacturer who made the express warranty honestly believed that the warranty was true. 
D)  the seller is not liable for breach of one or more implied warranties.

Question 3

An express warranty can be made orally or in writing.

Accepted Answer

A) True 
 B)False

Question 4

The federal regulation of express warranties:

Accepted Answer

A)  applies only to limited warranties. 
B)  applies to a seller who makes a written express warranty for a consumer product costing more than $10. 
C)  requires all express warranties to be full warranties. 
D)  requires an implied warranty to be designated as either full or limited. 
A)  applies only to limited warranties. 
B)  applies to a seller who makes a written express warranty for a consumer product costing more than $10. 
C)  requires all express warranties to be full warranties. 
D)  requires an implied warranty to be designated as either full or limited.

Question 5

No law requires a seller to make an express warranty.

Accepted Answer

A) True 
 B)False

Question 6

An express warranty is basically any statement of fact or promise made about the goods that becomes part of the basis of the bargain.

Accepted Answer

A) True 
 B)False

Question 7

A statement by a seller relating to goods that is part of the basis of the bargain is an express warranty.

Accepted Answer

A) True 
 B)False

Question 8

An examination of goods excludes any implied warranty with respect to a defect that:

Accepted Answer

A)  is apparent after a reasonable examination is made. 
B)  will not be apparent without chemical analysis. 
C)  will not be apparent until the goods are processed or used in manufacturing. 
D)  is unknown to all parties and is not detectable by reasonable examination. 
A)  is apparent after a reasonable examination is made. 
B)  will not be apparent without chemical analysis. 
C)  will not be apparent until the goods are processed or used in manufacturing. 
D)  is unknown to all parties and is not detectable by reasonable examination.

Question 9

All of the following statements about express warranties are true except:

Accepted Answer

A)  It is immaterial whether the express warranty is made at the time of the sale or after the sale. 
B)  Separate consideration is required to legitimize a warranty made at the time of the sale. 
C)  A warranty made after a sale may be considered a modification of the sales contract. 
D)  If a warranty made after a sale is a modification of the sales contract, no additional consideration is required. 
A)  It is immaterial whether the express warranty is made at the time of the sale or after the sale. 
B)  Separate consideration is required to legitimize a warranty made at the time of the sale. 
C)  A warranty made after a sale may be considered a modification of the sales contract. 
D)  If a warranty made after a sale is a modification of the sales contract, no additional consideration is required.

Question 10

The scope of warranties remains the same regardless of whether the seller is a merchant or a casual seller.

Accepted Answer

A) True 
 B)False

Question 11

The requirement of privity of contract to allow recovery in a sales contract has been widely rejected.

Accepted Answer

A) True 
 B)False

Question 12

An exclusion of warranties made in the manner specified by the Uniform Commercial Code is not unconscionable.

Accepted Answer

A) True 
 B)False

Question 13

A disclaimer or exclusion of the warranty of merchantability will be invalid if:

Accepted Answer

A)  the goods cost $500 or more. 
B)  the defects in the goods are obvious to all buyers. 
C)  it is made at the time of the sale. 
D)  it is not conspicuously set forth in a writing. 
A)  the goods cost $500 or more. 
B)  the defects in the goods are obvious to all buyers. 
C)  it is made at the time of the sale. 
D)  it is not conspicuously set forth in a writing.

Exam 25: Product Liability: Warranties and Torts

Express warranties may be made before, during, but not after the sale of goods.

If an express warranty is breached,

An express warranty can be made orally or in writing.

The federal regulation of express warranties:

No law requires a seller to make an express warranty.

An express warranty is basically any statement of fact or promise made about the goods that becomes part of the basis of the bargain.

A statement by a seller relating to goods that is part of the basis of the bargain is an express warranty.

An examination of goods excludes any implied warranty with respect to a defect that:

All of the following statements about express warranties are true except:

The scope of warranties remains the same regardless of whether the seller is a merchant or a casual seller.

The requirement of privity of contract to allow recovery in a sales contract has been widely rejected.

An exclusion of warranties made in the manner specified by the Uniform Commercial Code is not unconscionable.

A disclaimer or exclusion of the warranty of merchantability will be invalid if:

The Nature and Sources of Law

The Court System and Dispute Resolution

Business Ethics, Social Forces, and the Law

The Constitution As the Foundation of the Legal Environment

Government Regulation of Competition and Prices

Administrative Agencies

The Legal Environment of International Trade

Crimes

Torts

Intellectual Property Rights

Cyberlaw

Nature and Classes of Contracts: Contracting on the Internet

Formation of Contracts: Offer and Acceptance

Capacity and Genuine Assent

Consideration

Legality and Public Policy

Writing, Electronic Forms, and Interpretation of Contracts

Third Persons and Contracts

Discharge of Contracts

Breach of Contract and Remedies

Personal Property and Bailments

Legal Aspects of Supply Chain Management

Nature and Form of Sales

Title and Risk of Loss

Obligations and Performance

Remedies for Breach of Sales Contracts

Kinds of Instruments, Parties, and Negotiability

Transfers of Negotiable Instruments and Warranties of Parties

Liability of the Parties Under Negotiable Instruments

Checks and Funds Transfers

Nature of the Debtor-Creditor Relationship

Consumer Protection

Secured Transactions in Personal Property

Bankruptcy

Insurance

Agency

Third Persons in Agency

Regulation of Employment

Equal Employment Opportunity Law

Types of Business Organizations

Partnerships

LPs, LLCs, and LLPs

Corporate Formation

Shareholder Rights in Corporations

Securities Regulation

Accountants Liability and Malpractice

Management of Corporations

Real Property

Environmental Law and Land Use Controls

Leases

Decedents Estates and Trusts

Filters