Question 1

Oral warranties made before the execution of a written agreement containing an express disclaimer are subject to the parol evidence rule.

Accepted Answer

The parol evidence rule generally prohibits the introduction of oral agreements or understandings made prior to or at the time of a written contract, especially when the written contract is intended to be a complete and final expression of the parties' agreement and contains an express disclaimer of prior or contemporaneous agreements.

Question 2

Despite 402A's bar of contributory negligence in strict liability cases, some courts apply comparative negligence to strict liability cases.

Accepted Answer

Some courts have indeed applied the principle of comparative negligence in strict liability cases, despite the traditional rule under Restatement (Second) of Torts Section 402A, which suggests that contributory negligence is not a defense in strict liability. This reflects a judicial effort to balance the equities between the parties involved.

Question 3

The warranty of merchantability is found in Section 402A of the Restatement of the Law of Torts.

Accepted Answer

The warranty of merchantability is governed by the Uniform Commercial Code (UCC), specifically under Section 2-314, not the Restatement of the Law of Torts.

Question 4

Section 402A of the Restatement applies only if the defective product is unreasonably dangerous.

Accepted Answer

Section 402A of the Restatement of Torts applies only if the product is unreasonably dangerous, meaning that it is dangerous beyond what an ordinary consumer would expect when using the product in a reasonably foreseeable manner. Therefore, in order for a plaintiff to succeed in a strict liability claim under Section 402A, they must show that the product was unreasonably dangerous at the time it left the manufacturer's control.

Question 5

Shirley purchased a used electric pressure cooker from a yard sale in her neighborhood. When she used it for the first time, the pressure cooker  exploded. The seller in this case is in breach of the implied warranty of merchantability.

Accepted Answer

The implied warranty of merchantability typically applies to sales by merchants, not to private sales between individuals, such as items sold at a yard sale.

Question 6

The Magnuson-Moss Warranty Act is administered by the Federal Trade Commission.

Accepted Answer

The Magnuson-Moss Warranty Act, which governs warranties on consumer products, is indeed administered by the Federal Trade Commission (FTC).

Question 7

Alec buys a car stereo and he later discovers it had been stolen by the seller. He can sue the seller for breach of warranty.

Accepted Answer

When Alec buys a car stereo that later turns out to be stolen, he can sue the seller for breach of warranty because the seller implicitly warrants that they have clear title to the goods sold.

Question 8

A salesperson at Quality Furniture showed Camila a cherry end table and she ordered one like it to be delivered to her home six weeks later. When the table arrived, it was not made of cherry wood, but of pine. If Camila notifies Quality of the breach within a reasonable time, she will be able to recover from Quality .

Accepted Answer

Camila can recover from Quality Furniture because the table delivered was not as described or agreed upon, constituting a breach of contract. Notifying Quality Furniture within a reasonable time allows her to seek remedies such as replacement, repair, or refund under the terms of the contract and applicable consumer protection laws.

Question 9

The Code does not label the warranty of title as an implied warranty, despite the fact that it arises out of the sale and not from the words or conduct of the parties.

Accepted Answer

The Code does not explicitly classify warranty of title as an implied warranty, although it is an implied warranty that arises automatically from the sale of goods.

Question 10

An express warranty requires that the warranty be expressed in words.

Accepted Answer

An express warranty can be created through words, actions, or any other means that clearly indicate the seller's promise or affirmation about the goods.

Question 11

Contributory negligence is not a defense to a warranty of merchantability cause of action.

Accepted Answer

Contributory negligence is not a defense in a breach of warranty case, including those involving a warranty of merchantability, because warranty claims are based on contract principles rather than tort principles where contributory negligence would apply.

Question 12

Harold drives his brand new car knowing that the brakes are defective and has an accident in which the car is damaged and he is injured. He will likely be unable to recover from the manufacturer, because he voluntarily assumed the risk of the defective brakes.

Accepted Answer

Harold's knowledge of the defective brakes and his decision to drive the car anyway constitutes voluntary assumption of risk, which typically bars recovery in negligence claims against the manufacturer for the injuries or damages incurred as a result.

Question 13

Few obstacles to recovery in warranty cases present serious problems to plaintiffs in strict liability actions brought pursuant to Section 402A because this section was drafted largely to avoid such obstacles.

Accepted Answer

Section 402A of the Restatement (Second) of Torts, which deals with strict liability for defective products, was indeed designed to reduce the obstacles plaintiffs face in product liability cases, such as proving negligence, by holding manufacturers and sellers liable for selling any product in a defective condition unreasonably dangerous to the user or consumer.

Question 14

Barry buys a car from a dealer, which is sold to him "as is" and "with all faults." The next day, the engine blows up. Barry can sue the dealer for breach of the implied warranty of fitness.

Accepted Answer

When a car is sold "as is" and "with all faults," it means that the buyer accepts the car in its current condition, and the seller is not responsible for any defects or problems that arise after the sale, including the implied warranty of fitness.

Question 15

Ed buys a car from a friend "as is." The friend tells him, "In my opinion, this car is in excellent mechanical condition." The friend has made an express warranty.

Accepted Answer

The statement "In my opinion, this car is in excellent mechanical condition" is considered a statement of opinion or puffery, not a factual claim or promise that would constitute an express warranty.

Question 16

The word "merchantability" must be mentioned in a disclaimer of an implied warranty of merchantability.

Accepted Answer

According to the Uniform Commercial Code (UCC) Section 2-314, when a seller is making a sale of goods, there is an implied warranty of merchantability that the goods are fit for their intended use. In order to disclaim this warranty, the term "merchantability" must be mentioned explicitly in the disclaimer. Otherwise, the disclaimer may not be legally effective.

Question 17

The Code requires that the affirmations, promises, or descriptions the seller makes be relied on by the buyer to be an express warranty.

Accepted Answer

The answer of The Code requires that the affirmations, promises,...

Question 18

Under comparative negligence, the court apportions damages between parties in proportion to the degree of fault or negligence it finds against them.

Accepted Answer

Comparative negligence is a principle used in tort law to allocate damages based on the level of negligence of each party involved in an accident. It allows for the apportionment of damages according to the degree of fault attributed to each party.

Question 19

Comment (m) to Section 402A provides that the basis of strict liability rests solely in tort and, therefore, is not subject to contractual defenses.

Accepted Answer

Comment m to Section 402A of the Restatement (Second) of Torts clarifies that the basis of strict liability is in tort, meaning it is independent of any contract between the parties, thus contractual defenses typically do not apply to strict liability claims.

Question 20

Fitness for a particular purpose and merchantability are implied warranties that apply only to sales by commercial vendors.

Accepted Answer

These implied warranties can apply to both commercial vendors and private sellers, depending on the jurisdiction and specific circumstances of the sale.

Quiz 22: Product Liability Warranties and Strict Liability