Exam 20: Warranties and Product Liability

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Wilma locked herself in the trunk of a 1973 sedan in an attempt to learn a magic trick. After some time, she decided to get out of the trunk, but was unable to do so. She was released nine days later. She subsequently sued the manufacturer of the sedan for the psychological and physical injuries she sustained because the trunk did not have an internal release or opening mechanism that would have allowed her to escape. She alleged that the manufacturer was negligent in its design of the car because it lacked such a mechanism, and negligent because it failed to warn users that the trunk did not have such a mechanism. In this scenario, was the manufacturer of the sedan negligent for failing to warn, or failing to include a release mechanism in its design of the car?

(Essay)
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The seller may not include a clause in the contract that excludes implied warranties.

(True/False)
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If a seller wishes to be relieved of the responsibility for implied warranties, the sales contract must clearly provide that the parties did not intend the implied warranties to become part of the contract.

(True/False)
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Under the theory of industry wide liability, when it is impossible to successfully identify the particular manufacturer that caused the harm, courts will:

(Multiple Choice)
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If a 350-pound man tells a sales clerk he needs a chair that will not collapse under his weight and is sold one that will support a person of only average weight:

(Multiple Choice)
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Salman, a high-school senior, bit into a chicken bone in a chicken burger in his high-school cafeteria. He had difficulty in breathing, and with some effort, expelled a small bone from his throat. He hurt his esophagus and had to be hospitalized for a few days. Salman brought suit against the school, claiming breach of warranty of merchantability in the food served to him in the cafeteria. What test should be applied to determine whether there was a breach of warranty of merchantability because of the presence of a bone in the meal served to Salman?

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A manufacturer who is sued on the basis of industry wide liability may try to defend on the grounds that:

(Multiple Choice)
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A court is most likely to find a disclaimer of warranty unconscionable:

(Multiple Choice)
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Under the warranty of title, the seller warrants that the goods are free of any liens or claims of other parties unless the buyer was given notice of the liens or claims at the time the contract was made.

(True/False)
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Which of the following statements is true of the Magnuson-Moss Warranty Act?

(Multiple Choice)
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If a product is inherently dangerous so that no amount of due care could make it safe, _____.

(Multiple Choice)
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According to the Magnuson-Moss Warranty Act and the Federal Trade Commission (FTC) guidelines, which of the following requirements must be satisfied by sellers when they give a written warranty?

(Multiple Choice)
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Priety, a manufacturer of chairs, sold 150 chairs to Shilpa, the owner of a furniture shop. This sale was made after both the parties entered into a contract. The term of the contract read, "Seller hereby disclaims all implied warranties." Unlike the rest of the contract, this term was written in all capital letters and placed prominently in the document. In this scenario, Priety has effectively made a disclaimer of:

(Multiple Choice)
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The creation of an express warranty depends on the:

(Multiple Choice)
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It does not matter whether or not the buyer dealt directly with the manufacturer because:

(Multiple Choice)
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Which of the following is true of strict liability?

(Multiple Choice)
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The Magnuson-Moss Warranty Act is intended to:

(Multiple Choice)
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Syeda bought a thermos bottle from Pentagon Corp. When using it for the first time, she poured coffee into it and was adding some warm milk when it exploded, sending shards of glass into her face and injuring her right eye. Syeda testified that she had not dropped the thermos and had not abused it. She sued Pentagon, claiming, among other things, breach of warranty of merchantability. Under the Uniform Commercial Code, was the warranty of merchantability breached?

(Essay)
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Define the different situations in which courts can hold manufacturers liable for negligence.

(Essay)
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Which of the following is true of a statute of repose?

(Multiple Choice)
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