Question 1

Business law teacher Julie was very sensitive about her upcoming 50th birthday.Her students decided to surprise her with a cake.On behalf of her class,Damon,a student,went to the bakery and ordered a cake that said "Happy Birthday - You Look Great!" The salesclerk said there would be no problem having the cake ready and that it should make the birthday girl feel great.Damon was in a big hurry when he picked up the boxed cake,and although the salesclerk asked Damon to take a look at the cake,he declined-.Unfortunately,when the cake was opened in class,the icing read,"Happy Birthday - You Look Gray!" The students were mortified,and Julie stormed off angrily,vowing to give a difficult final.Which of the following is true regarding the warranties the bakery breached,if any?

Accepted Answer

A)  The bakery breached the warranty of merchantability and is liable for damages.
B)  Because the salesclerk promised that the cake would make the birthday girl feel great,the bakery breached the implied warranty of fitness for a particular purpose and is liable for damages.
C)  Because Damon failed to inspect the cake,he waived implied and express warranties.
D)  Because food was involved,no warranties were made.
E)  Because the salesclerk promised that there would be no problem with the cake,the bakery breached an express warranty and is liable for damages.F) D) and E)
G) B) and E)

Question 2

What was the result in the case of Webster v.Blue Ship Tea Room Inc. ,the case in which the plaintiff sued after getting a bone caught in her throat while eating fish chowder?

Accepted Answer

A)  That the plaintiff could recover based upon the implied warranty of merchantability.
B)  That the plaintiff could recover based on an express warranty.
C)  That the plaintiff could recover based upon the implied warranty of fitness for a particular purpose.
D)  That the plaintiff could not recover because the bone was not a foreign substance to the fish and should have been expected.
E)  That the plaintiff could recover based on either breach of an express warranty or breach of the implied warranty of merchantability.F) None of the above
G) C) and E)

Question 3

Which of the following is NOT a requirement in order for goods to be merchantable?

Accepted Answer

A)  That goods must be fit for the ordinary purposes for which such goods are used.
B)  That goods must be adequately contained,packaged,and labeled as the agreement may require.
C)  That goods must be sold without variation.
D)  That goods must pass without objection in the trade or market for similar goods.
E)  That goods must conform to the promises or affirmations made on the container or label,if any.F) A) and E)
G) C) and D)

Question 4

How may a buyer waive implied and express warranties?

Accepted Answer

A)  A buyer may waive both implied and express warranties only through signing a statement that such warranties are waived.
B)  A buyer may waive an implied warranty by failing to comply with the seller's request to inspect the goods,but an express warranty may only be waived by failing to examine goods for which an express warranty was created by a sample or model.
C)  A buyer may waive implied warranties only through signing a statement that such warranties are waived,but a buyer may waive express warranties through 1) failing to examine goods for which an express warranty was created by a sample or model or 2) failing to comply with the seller's request to inspect the goods.
D)  A buyer may waive both implied and express warranties through 1) failing to examine goods for which an express warranty was created by a sample or model or 2) failing to comply with the seller's request to inspect the goods.
E)  A buyer may waive an express warranty by failing to comply with the seller's request to inspect the goods,but an implied warranty may only be waived by failing to examine goods for which an express warranty was created by a sample or model.F) B) and C)
G) C) and D)

Question 5

Which of the following was the result in Melissa Kahn v.Volkswagen of America Inc. ,the case in the text in which the plaintiff attempted to hold the manufacturer liable for problems with a vehicle she leased from a dealership?

Accepted Answer

A)  The court ruled that the plaintiff could not recover from the manufacturer.
B)  The court ruled that the plaintiff could recover from the manufacturer based upon the theory of express warranty.
C)  The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of fitness for a particular purpose.
D)  The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of merchantability.
E)  The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of trade usage.F) A) and B)
G) B) and C)

Question 6

[Hot Toaster] Cara bought a toaster from Super Store and brought it home.A friend of hers,Kumar,was at her house making toast.The toaster malfunctioned and shocked Kumar,resulting in a small burn to his hand that required medical attention.Cara also purchased a blender at her friend Nicole's garage sale,with the intention of making smoothies.Unfortunately,the blender was not powerful enough to make smoothies.Assume that not all blenders are designed to provide the texture required for good smoothies.
-Based only on the facts presented,what type of warranty did Super Store give Cara upon the sale?

Accepted Answer

A)  An acknowledged warranty
B)  A warranty of trade usage
C)  An express warranty
D)  An implied warranty of fitness for a particular purpose
E)  An implied warranty of merchantabilityF) A) and B)
G) A) and E)

Question 7

Express warranties are not material terms of a sale or lease contract.

Accepted Answer

A) True 
 B)False

Question 8

Tanya lives with her sister Jane and borrows a hairdryer Jane bought.The dryer malfunctions and Tanya is hurt? Does Tanya have a warranty claim under the UCC?

Accepted Answer

A)  No.
B)  It depends on the state.
C)  Seller's warranties extend to the buyer and the buyer's family only.
D)  Yes.
E)  It depends upon what is written in the hair dryer's instruction manual.F) A) and C)
G) C) and D)

Question 9

Under the UCC which of the following rights,if any,does Kumar have against Super Store in most states?

Accepted Answer

A)  None because he was not married to Cara.
B)  He may sue but only if Cara joins in the suit with him.
C)  None because he did not buy the toaster.
D)  None because he has no privity.
E)  He likely has a right to sue,because the warranty rights extend to guests.F) A) and B)
G) None of the above

Question 10

To use common law language,a[n] ________ is a material term of the sale or lease contract.

Accepted Answer

A)  Acknowledged warranty
B)  Consequential warranty
C)  Implied warranty
D)  Claimed warranty
E)  Express warrantyF) All of the above
G) C) and D)

Question 11

Which of the following types of warranties are automatically injected into a contract,as a matter of law?

Accepted Answer

A)  Acknowledged title warranties,but not express warranties or implied warranties of quality
B)  Express warranties,implied warranties of quality,and acknowledged title warranties
C)  Express warranties and implied warranties of quality,but not acknowledged title warranties
D)  Implied warranties,but not express warranties or acknowledged title warranties
E)  Acknowledged title warranties and express warranties,but not implied warranties of qualityF) C) and D)
G) A) and B)

Question 12

Assuming adoption of the UCC,which of the following is true regarding whether the buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC?

Accepted Answer

A)  The buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC without any limits.
B)  The buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC so long as the time period is not less than one year.
C)  The buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC so long as the time period is not less than six months.
D)  The buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC so long as the time period is not less than two years.
E)  The buyer and seller may not negotiate a shorter time for the statute of limitations than that allowed by the UCC.F) All of the above
G) A) and C)

Question 13

Which of the following is true regarding whether Nicole made an implied warranty of fitness for a particular purpose to Cara that the blender would make smoothies?

Accepted Answer

A)  Nicole did not make an implied warranty of fitness for a particular purpose because there is no proof that Cara was relying on Nicole to make the selection.
B)  Nicole did not make an implied warranty of fitness for a particular purpose because no express warranty was made.
C)  Regardless of whether she said anything or not,Nicole made both an express warranty and a warranty of fitness for a particular purpose.
D)  Nicole made an implied warranty of fitness for a particular purpose to Cara that the blender would make smoothies because she had a duty to tell Nicole otherwise.
E)  Nicole did not make an implied warranty of fitness for a particular purpose because Nicole is not a merchant.F) C) and D)
G) A) and D)

Question 14

The purchaser or lessee must have purchased or leased the good from a merchant in order to invoke the implied warranty of merchantability.

Accepted Answer

A) True 
 B)False

Question 15

[Defective Computer] Carmen went to buy a new computer from ABC Computer Sales.The manager,Jared,told her that ABC carried the best computers in the state and perhaps even in the country.Unfortunately,after Carmen bought the computer and took it home,she discovered that it had a number of problems.When she took it back to the store,Jared told her that he was sorry,he was simply giving his opinion when he sold her the computer,and that the store never offers any kind of express or implied warranty on products.Jared told her that is why he never mentioned warranties - because they were not provided.
-Jared's defense would be that he was only giving his opinion when he said the store carried the best computers in the state,even in the country.That is known as ________.

Accepted Answer

A)  Acknowledged warranty
B)  Implied warranty
C)  Warranty of fitness for a particular purpose
D)  Puffing
E)  Express warrantyF) B) and E)
G) C) and D)

Question 16

According to the UCC,what needs to be shown for goods to be found merchantable?

Accepted Answer

For goods to be merchantable under the U...

Question 17

In general,what happens if a buyer relies on misrepresentations?

Accepted Answer

A)  They do not become part of the contract because the buyer is supposed to do due diligence.
B)  They do not become part of the contract unless they were in writing.
C)  They become part of the contract as express warranties.
D)  They do not become part of the contract unless the buyer can prove an intentional lie.
E)  They become part of the contract as implied warranties.F) C) and E)
G) B) and D)

Question 18

Josie's neighbor decides she no longer wants her mountain bike.The neighbor sells Josie the bike for $1,000.Does an implied warranty of merchantability apply?

Accepted Answer

A)  Not unless formal title to the bicycle was transferred to Josie.
B)  Yes,because the bicycle is a consumer good.
C)  No because the purchaser must have purchased or leased the goods from a merchant.
D)  Yes,because the bicycle was valued at over $500.
E)  No because Josie is not a merchant buying goods in the ordinary course of business.F) A) and B)
G) C) and D)

Question 19

What is the shortest possible statute of limitations for bringing a lawsuit based on breach of contract if the UCC applies?

Accepted Answer

A)  Four years.
B)  One year.
C)  Two years.
D)  Three years.
E)  Six months.F) B) and E)
G) A) and B)

Question 20

Which of the following are types of warranties?

Accepted Answer

A)  Express warranties and implied warranties of quality,but not acknowledged title warranties
B)  Acknowledged title warranties and express warranties,but not implied warranties of quality
C)  Implied warranties of quality and express warranties,but not acknowledged title warranties
D)  Express warranties,implied warranties of quality,and acknowledged title warranties
E)  Acknowledged title warranties,but not express warranties or implied warranties of qualityF) B) and E)
G) A) and D)

Exam 25: Warranties

Correct Answer
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What is the shortest possible statute of limitations for bringing a lawsuit based on breach of contract if the UCC applies?

Correct Answer
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Correct Answer
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Under the UCC which of the following rights,if any,does Kumar have against Super Store in most states?

Correct Answer
verified

In general,what happens if a buyer relies on misrepresentations?

Correct Answer
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Which of the following types of warranties are automatically injected into a contract,as a matter of law?

Correct Answer
verified

Which of the following is NOT a requirement in order for goods to be merchantable?

Correct Answer
verified

The purchaser or lessee must have purchased or leased the good from a merchant in order to invoke the implied warranty of merchantability.

Correct Answer
verified

Josie's neighbor decides she no longer wants her mountain bike.The neighbor sells Josie the bike for $1,000.Does an implied warranty of merchantability apply?

Correct Answer
verified

Correct Answer
verified

How may a buyer waive implied and express warranties?

Correct Answer
verified

Which of the following is true regarding whether Nicole made an implied warranty of fitness for a particular purpose to Cara that the blender would make smoothies?

Correct Answer
verified

What was the result in the case of Webster v.Blue Ship Tea Room Inc. ,the case in which the plaintiff sued after getting a bone caught in her throat while eating fish chowder?

Correct Answer
verified

Which of the following are types of warranties?

Correct Answer
verified

Assuming adoption of the UCC,which of the following is true regarding whether the buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC?

Correct Answer
verified

Which of the following was the result in Melissa Kahn v.Volkswagen of America Inc. ,the case in the text in which the plaintiff attempted to hold the manufacturer liable for problems with a vehicle she leased from a dealership?

Correct Answer
verified

Express warranties are not material terms of a sale or lease contract.

Correct Answer
verified

Tanya lives with her sister Jane and borrows a hairdryer Jane bought.The dryer malfunctions and Tanya is hurt? Does Tanya have a warranty claim under the UCC?

Correct Answer
verified

According to the UCC,what needs to be shown for goods to be found merchantable?

Correct Answer
verified
For goods to be merchantable under the U...
View Answer

To use common law language,a[n] ________ is a material term of the sale or lease contract.

Correct Answer
verified

Exam 25: Warranties

Correct AnswerverifiedShow Answer

What is the shortest possible statute of limitations for bringing a lawsuit based on breach of contract if the UCC applies?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Under the UCC which of the following rights,if any,does Kumar have against Super Store in most states?

Correct AnswerverifiedShow Answer

In general,what happens if a buyer relies on misrepresentations?

Correct AnswerverifiedShow Answer

Which of the following types of warranties are automatically injected into a contract,as a matter of law?

Correct AnswerverifiedShow Answer

Which of the following is NOT a requirement in order for goods to be merchantable?

Correct AnswerverifiedShow Answer

The purchaser or lessee must have purchased or leased the good from a merchant in order to invoke the implied warranty of merchantability.

Correct AnswerverifiedShow Answer

Josie's neighbor decides she no longer wants her mountain bike.The neighbor sells Josie the bike for $1,000.Does an implied warranty of merchantability apply?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

How may a buyer waive implied and express warranties?

Correct AnswerverifiedShow Answer

Which of the following is true regarding whether Nicole made an implied warranty of fitness for a particular purpose to Cara that the blender would make smoothies?

Correct AnswerverifiedShow Answer

What was the result in the case of Webster v.Blue Ship Tea Room Inc. ,the case in which the plaintiff sued after getting a bone caught in her throat while eating fish chowder?

Correct AnswerverifiedShow Answer

Which of the following are types of warranties?

Correct AnswerverifiedShow Answer

Assuming adoption of the UCC,which of the following is true regarding whether the buyer and seller may negotiate a shorter time for the statute of limitations than that allowed by the UCC?

Correct AnswerverifiedShow Answer

Which of the following was the result in Melissa Kahn v.Volkswagen of America Inc. ,the case in the text in which the plaintiff attempted to hold the manufacturer liable for problems with a vehicle she leased from a dealership?

Correct AnswerverifiedShow Answer

Express warranties are not material terms of a sale or lease contract.

Correct AnswerverifiedShow Answer

Tanya lives with her sister Jane and borrows a hairdryer Jane bought.The dryer malfunctions and Tanya is hurt? Does Tanya have a warranty claim under the UCC?

Correct AnswerverifiedShow Answer

According to the UCC,what needs to be shown for goods to be found merchantable?

Correct AnswerverifiedFor goods to be merchantable under the U...View AnswerShow Answer

To use common law language,a[n] ________ is a material term of the sale or lease contract.

Correct AnswerverifiedShow Answer

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For goods to be merchantable under the U...
View Answer

Correct Answer
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