The implied warranty of merchantability is implied at the time of contracting if: (1)the seller or lessor has reason to know the particular purpose for which the buyer is purchasing the goods or the lessee is leasing the goods; (2)the seller or lessor makes a statement that the goods will serve this purpose; and (3)the buyer or lessee relies on the seller's or lessor's skill and judgment and purchases or leases the goods.

Question

Quizplus · Accepted Answer

The implied warranty of merchantability does not depend on the seller knowing the buyer's particular purpose or making statements about the goods serving that purpose. It is automatically implied in sales by merchants that the goods are fit for ordinary purposes.

The Implied Warranty of Merchantability Is Implied at the Time