Exam 19: Warranties and Product Liability

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Mountain Tamer makes mountain bikes.Mountain Tamer's bikes are known for their lightness.This lightness is attained by making all of the individual components of the bikes as light as possible.Mountain Tamer's latest model,the MTN-500,contains several new breakthroughs in weight-reduction technology,including a new lighter seat post design.Trevor was one of the first in town to purchase an MTN-500,and loved it.In the third week that he had it,the seat post broke while he was riding and Trevor was injured.Trevor returned the bike to the dealer where he purchased it,and the dealer notified the manufacturer of the problem.Assuming that this is the first seat failure,which of the following is known at this point?

(Multiple Choice)
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In the case where General Motors was found liable for defective design of the fuel tank in a Chevrolet Malibu from the late 1970s,General Motors was not allowed to introduce evidence at the trial about the car's safety history or evidence that the driver was intoxicated when the accident occurred.Should this evidence have been able to be introduced?

(Essay)
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In terms of the conspicuous display of a warranty disclaimer,a heading printed in uppercase letters or a typeface that is larger or in a different style than the rest of the body of a sales or lease contract is considered to be "conspicuous."

(True/False)
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Under the doctrine of contributory negligence,where a plaintiff has been partially responsible for causing his or her own injuries,liability is assessed proportionally to the degree of fault of each party.

(True/False)
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Software licenses do not typically contain warranty disclaimers and limitation on liability clauses.

(True/False)
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It is not necessary to use the words "warrant" or "guarantee" in order to make an express warranty.

(True/False)
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The doctrine that imposes liability on a seller of a product only if the seller sold the defective product directly to the injured party is known as:

(Multiple Choice)
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A defect in manufacture occurs when the manufacturer fails to properly assemble a product,properly test a product,or adequately check the quality of a product.

(True/False)
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Which of the following is not a typical way that a manufacturing defect arises?

(Multiple Choice)
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What is the significance of a "defect" in a products liability case based on strict liability?

(Multiple Choice)
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Bob manufacturers rope and got a great contract from the U.S.military for rope.The Government sent precise specifications for the rope and the rope Bob manufactured conformed to the specifications.Bob informed his government contact,however,that the rope ordered was not very strong and that it should not be used for heavy projects.While being used to lift a very heavy piece of equipment in Iraq,the rope broke causing the equipment to fall and smash a government vehicle.Which of the following is true regarding a strict liability claims against Bob?

(Multiple Choice)
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Strict liability refers to the concept that courts must follow rigid guidelines in negligence cases in order to hold defendants liable.

(True/False)
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In a product liability action,if a violation of strict liability has been found,the plaintiff may recover compensatory damages and also may be able to recover punitive damages if the defendant's conduct has been reckless or intentional.

(True/False)
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The crashworthiness doctrine requires vehicles to be designed so that they are not prone to be involved in accidents.

(True/False)
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If a violation of strict liability has been found,the plaintiff may recover ________ damages and also may be able to recover ________ damages if the defendant's conduct has been reckless or intentional.

(Multiple Choice)
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A written contract contains an express warranty that the goods will be "made of stainless steel." The seller wishes to disclaim this express warranty.How may the seller accomplish this?

(Multiple Choice)
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Express warranties must be in writing.

(True/False)
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The Magnuson-Moss Warranty Act stipulates that sellers or lessors who make express written warranties related to consumer products are forbidden from disclaiming or modifying the implied warranties of merchantability and fitness for a particular purpose.

(True/False)
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Under the implied warranty of merchantability,fungible goods must be of a high level of quality.

(True/False)
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In considering whether a product contains a defective design,the courts will consider the following except:

(Multiple Choice)
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