Question 1

Which of the following statements made by the seller does not likely constitute an express warranty?​

Accepted Answer

A) ​"This looks beautiful on you." 
B) "This is 100 percent wool." 
C) ​"This motor generates 100 horsepower." 
D) ​"This is a 3.2 liter rotary engine." 
A) ​"This looks beautiful on you." 
B) "This is 100 percent wool." 
C) ​"This motor generates 100 horsepower." 
D) ​"This is a 3.2 liter rotary engine."

Question 2

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 3

Under what type of warranty is the seller obligated to fix or replace a defective product within a reasonable time at no cost to the buyer?​

Accepted Answer

A) ​full 
B) express 
C) ​limited 
D) ​implied 
A) ​full 
B) express 
C) ​limited 
D) ​implied

Question 4

The theories of product liability are mutually exclusive.​

Accepted Answer

A) True 
 B)False

Question 5

All of the following are product liability theories except:​

Accepted Answer

A) ​express warranty 
B) implied warranty 
C) ​strict tort liability 
D) ​assumption of the risk 
A) ​express warranty 
B) implied warranty 
C) ​strict tort liability 
D) ​assumption of the risk

Question 6

In order to create an express warranty the seller must use as the words "warrant" or "guarantee."​

Accepted Answer

A) True 
 B)False

Question 7

Which of the following implied warranties is created when the buyer relies on the seller to pick out the goods that the buyer requires to meet a stated need?

Accepted Answer

A) ​conformity to description 
B) Merchantability 
C) ​fitness for a particular purpose 
D) ​conformity to a sample or model 
A) ​conformity to description 
B) Merchantability 
C) ​fitness for a particular purpose 
D) ​conformity to a sample or model

Question 8

The warranty of merchantability guarantees that the:

Accepted Answer

A) ​party in question is a merchant. 
B) product is fit for the ordinary purposes for which it is sold. 
C) ​product will remain fit for its normal use for the applicable statute of limitations period. 
D) ​product can be resold by the buyer if the buyer does not want to keep it. 
A) ​party in question is a merchant. 
B) product is fit for the ordinary purposes for which it is sold. 
C) ​product will remain fit for its normal use for the applicable statute of limitations period. 
D) ​product can be resold by the buyer if the buyer does not want to keep it.

Question 9

A seller who makes a written express warranty for consumer goods costing more than $50 must conform to FTC regulations.​

Accepted Answer

A) True 
 B)False

Question 10

When a buyer makes a purchase without relying on the seller's skill and judgment, no warranty of fitness for a particular purpose exists.​

Accepted Answer

A) True 
 B)False

Question 11

Unless otherwise agreed, every merchant seller warrants that goods are sold free of any rightful claim by any third party.​

Accepted Answer

A) True 
 B)False

Question 12

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.

Question 13

A limited warranty includes all of the following scenarios except:

Accepted Answer

A) ​coverage of the first buyer. 
B) the buyer pays for repairs or replacement of the defective product. 
C) ​only a portion of the product purchased is covered. 
D) ​the manufacturer replaces the defective product at no charge to the buyer. 
A) ​coverage of the first buyer. 
B) the buyer pays for repairs or replacement of the defective product. 
C) ​only a portion of the product purchased is covered. 
D) ​the manufacturer replaces the defective product at no charge to the buyer.

Question 14

Suppose a Ford truck slams into a parade and the driver claims the brakes failed. All of the following are potentially liable in a defective product suit except:​

Accepted Answer

A) ​the Ford dealer. 
B) the Ford manufacturer. 
C) ​the manufacturer of the brakes. 
D) ​the bystanders 
A) ​the Ford dealer. 
B) the Ford manufacturer. 
C) ​the manufacturer of the brakes. 
D) ​the bystanders

Exam 24: Product Liability: Warranties and Torts

Which of the following statements made by the seller does not likely constitute an express warranty?​

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

Under what type of warranty is the seller obligated to fix or replace a defective product within a reasonable time at no cost to the buyer?​

The theories of product liability are mutually exclusive.​

All of the following are product liability theories except:​

In order to create an express warranty the seller must use as the words "warrant" or "guarantee."​

Which of the following implied warranties is created when the buyer relies on the seller to pick out the goods that the buyer requires to meet a stated need?

The warranty of merchantability guarantees that the:

A seller who makes a written express warranty for consumer goods costing more than $50 must conform to FTC regulations.​

When a buyer makes a purchase without relying on the seller's skill and judgment, no warranty of fitness for a particular purpose exists.​

Unless otherwise agreed, every merchant seller warrants that goods are sold free of any rightful claim by any third party.​

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

A limited warranty includes all of the following scenarios except:

Suppose a Ford truck slams into a parade and the driver claims the brakes failed. All of the following are potentially liable in a defective product suit except:​

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

Crimes

Torts

Intellectual Property Rights and the Internet

The Legal Environment of International Trade

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 Negotiable Instruments 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

Filters

Which of the following statements made by the seller does not likely constitute an express warranty?

Under what type of warranty is the seller obligated to fix or replace a defective product within a reasonable time at no cost to the buyer?

The theories of product liability are mutually exclusive.

All of the following are product liability theories except:

In order to create an express warranty the seller must use as the words "warrant" or "guarantee."

A seller who makes a written express warranty for consumer goods costing more than $50 must conform to FTC regulations.

When a buyer makes a purchase without relying on the seller's skill and judgment, no warranty of fitness for a particular purpose exists.

Unless otherwise agreed, every merchant seller warrants that goods are sold free of any rightful claim by any third party.

Suppose a Ford truck slams into a parade and the driver claims the brakes failed. All of the following are potentially liable in a defective product suit except: