Implied warranties under the Code:
A) may arise from course of dealing or usage of trade.
B) are a result of specific language in the sales contract.
C) continue the common law rule of caveat emptor.
D) are intended to protect the seller rather than the buyer.

Question

Quizplus · Accepted Answer

Implied warranties under the Code can arise from the course of dealing or usage of trade. This means that there are certain expectations and standards within a specific industry or between parties that are not spelled out in the sales contract but are still assumed to be part of the transaction. This protects the buyer's interests and promotes fair dealing in commercial transactions. It does not continue the common law rule of caveat emptor (let the buyer beware) and is not intended to protect the seller over the buyer.

Implied Warranties Under the Code