Exam 23: Warranties and Product Liability

Promises of fact made during the bargaining process are not express warranties.

A seller must use words such as "warrant" or "guarantee" to make an express warranty.

Fun Toyz Corporation makes skateboards, which it sells to con?sumers, including Holly and Ira. Due to a defect, Holly is injured while using her new board. Ira's board has the same defect, but he is not injured. In a product liability suit based on strict product liabil?ity, Fun Toyz may be liable to

Olga, a salesperson for Pre-owned Cars & Trucks, Inc., tells Quincy, "This is the best car I've ever seen." This statement is

Oven Products Company makes microwave ovens. Pico discovers that his Oven Products oven is defective and sues the maker for product liabil?ity based on strict liability. To win, Pico must show that

Parker, a salesperson for Quality Textiles, Inc., shows Rosa, a fabric buyer for Style Clothing Company, samples of cloth, stating that any ship?ment will match the samples. This statement is

Garden Work, Inc., sells consumer lawn care equipment. Garden Work's sales contracts include express warranties. According to the Magnuson-Moss Warranty Act, Garden Work can also disclaim

A manufacturer's liability to an injured party on a strict product liability theory can be virtually unlimited.

To succeed in a strict product liability suit, an injured plaintiff must show that a product's defect was the proximate cause of the injury.

A statute of repose may limit the time within which a plaintiff can file a product liability suit.

Ed, an obese individual, files a suit against Fast Food Corporation (FFC), alleging that FFC's food is unhealthy because, as is well known, it contains high levels of cholesterol and saturated fat. Ed is most likely to

Fact Pattern 23-B1 HiDef, Inc., a television set maker, provides a limited warranty on its com?puters in a contract that includes an "informal dispute settlement proce?dure" clause. Ike buys an HiDef computer, which soon malfunctions. After several unsuc?cessful repair attempts, Ike files a suit against HiDef, seeking damages under the Magnuson-Moss Warranty Act. -Refer to Fact Pattern 23-B1. The court is most likely to order

Value Tools, Inc., sells tools, tool parts, and related supplies under "full" warranties. Under the Magnuson-Moss Warranty Act, this means that Value Tools must provide

Gert, an obese individual, files a suit against Hot n' Tasty, Inc., alleging that its food is unhealthy because, as is well known, it contains high lev?els of salt and sugar. Gert's suit is most likely to

Yard Tool Company makes and leases a backhoe to Zack. Due to a defect attributable to Yard Tool's negligence, Zack is injured in an accident in which his neighbor Aron is also hurt. In a product liability suit based on negligence, Yard Tool may be liable to

A product liability action may be based on warranty theory.

Privity of contract between the plaintiff and the defendant is required to bring a product liability suit based on negligence.

A manufacturer's duty of care does not extend to the inspection and test?ing of products bought to incorporate in the final product.

Dependable Appliances, Inc., and Elain enter into a contract for a sale of kitchen appliances. Dependable, a merchant who deals in goods of the kind sold, notes that its goods come with an implied warranty of merchantability. Under the UCC, this means that the goods are reasonably

An expression of opinion by a seller will not usually create a warranty.