Exam 22: Warranties and Product Liability

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A product liability action may be based on warranty theories.

(True/False)
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Imported Carpets Store and Jill enter into a contract for a sale of an Oriental rug.Imported Carpets,a merchant who deals in goods of the kind sold,generally describes the goods,details technical specifications,and shows a sample.Under the UCC,if these are inconsistent

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Goods that are merchantable are fit for any purpose.

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Grady,an obese individual,files a suit against Fry Fast Food Corporation (FFFC),alleging that FFFC's food is unhealthy because,as Grady knows,it contains high levels of cholesterol and saturated fat.Grady is most likely to

(Multiple Choice)
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To be merchantable,goods must be at least average,fair,or medium-grade quality.

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Dependable Appliances,Inc.,and Elain enter into a contract for a sale of kitchen appliances.Dependable,a merchant who deals in goods of the kind sold,notes that its goods come with an implied warranty of merchantability.Under the UCC,this means that the goods are reasonably

(Multiple Choice)
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In most sales,sellers warrant that they have good and valid title to the goods sold.

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Farm Equip,Inc.,makes farm?ing machinery.Gail discovers that her Farm Equip tractor is defective and sues the maker for product liability based on negligence.To win,Gail must show that

(Multiple Choice)
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Sari buys a new sport utility vehicle (SUV)from 'Tastic Cars & Trucks,Inc.The most important factor in determining whether an ex?press war?ranty is created is whether

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A statute of limitation may restrict the time within which an action in product liability may be brought.

(True/False)
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GR8 Skates Company makes and sells a pair of skates to Homer.GR8 fails to exercise "due care" to make the skates safe,and Homer is injured as a result.GR8 is most likely liable for

(Multiple Choice)
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Promises of fact made during the bargaining process are not express warranties.

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Delta Company makes and sells table saws,which are designed to be safe if used properly.Erin buys a Delta saw and lends it to her neighbor Frank.To reach a toolbox on a high shelf in his garage,Frank props the saw at an angle against a cabinet and climbs onto the saw.Frank loses his footing,slips off the saw,falls on the blade,and is injured.He files a product liability suit against Delta,on the ground of negligence.On what basis could Delta prevail?

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Green Glass Corporation makes glass bottles for food and beverage makers to package their products for wholesale distribution and retail sale.Liability may be imposed on Green Glass based on

(Multiple Choice)
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Every seller is required to provide a written warranty for consumer goods sold.

(True/False)
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Concrete Products,Inc.,assures Deepwater Construction Company (DCC)that Concrete's cement will not crack within a certain range of pressure.DCC uses the product.When cracks develop within the stated range,DCC files a suit against Concrete.The court is most likely to rule in favor of

(Multiple Choice)
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Implied warranties can arise as a result of a course of dealing.

(True/False)
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Woodgrain Products Company and Sylvia enter into a contract for a sale of lumber.Woodgrain knows the purpose for which Sylvia will use the goods.Under the UCC,an implied warranty of fitness of a particular purpose arises

(Multiple Choice)
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Safe-T-Made Company makes electrical cords and other connectors for elec?tronic devices.Rowena files a product liability suit against Safe-Rite,alleg?ing a warning defect.Under the Restate?ment (Third)of Torts: Products Liability,in deciding whether to hold Safe-T-Made liable,the court may consider

(Multiple Choice)
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An action in strict product liability requires that the product not be in a defective condition when the defendant sells it.

(True/False)
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