Exam 22: Product Liability: Warranties and Strict Liability

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.

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.

The use of a sample or model is another means of creating an implied warranty.

Define and discuss horizontal and vertical privity.Explain the effect of the Code and the courts on the concept of privity of contract.

Robbie purchased a used blender from her next-door neighbor.When she took it home and plugged it in, the blender burst into flames.The seller in this case is in breach of the implied warranty of merchantability.

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.

Section 402A imposes strict liability in tort if:

Under Alternative A of the Code's horizontal privity provision, a corporation may bring a case against the manufacturer of a defective product for breach of the warranty of merchantability.

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

Which of the following products would impose strict liability in tort according to Section 402A?

With respect to horizontal privity, the strict liability in tort of manufacturers and other sellers extends to only buyers, users, and consumers, but not to injured bystanders.

Under the CISG, the seller must deliver goods, unless otherwise agreed, that are fit for the purposes for which goods of the same description would ordinarily be used.

If the seller of goods is an expert and gives an opinion with regard to the goods, the seller may be liable for breach of warranty.

Karen decided to sell her stair step exerciser, because she wasn't using it as much as she thought she would.Her friend Lydia bought it from Karen for $100.The first day that Lydia used the exerciser, it fell apart, injuring Lydia's ankle.Lydia:

As of the writing of the textbook, the Restatement (Third) of Torts: Products Liability had replaced the Second Restatement in all but four of the states.

A salesperson at Lakeview Furniture showed Camila a cherry end table and she ordered one like it to be delivered to her home four weeks later.When the table arrived, it was not made of cherry wood, but of pine.If Camila fails to notify Lakeview of the breach within a reasonable time, she will be barred from any remedy against Lakeview.

Which of the following is not an express warranty?

Section 402A provides that liability exists only if the product reaches "the user or consumer without substantial change in the condition in which it is sold."

The warranty of title for the sale of goods found in the Code:

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