In the event of equipment malfunction, what does the UCC provide in terms of a limitation on consequential damages allowing for repair, replace, or refund?

A) That consequential damages may be limited or excluded unless the limitation or exclusion benefits one party over the other.
B) That consequential damages may be limited or excluded unless the limitation or exclusion is unconscionable.
C) That consequential damages may be limited but not excluded entirely.
D) That consequential damages may be limited or excluded entirely unless any type of breach of warranty is involved in which case consequential damages may be limited but not excluded.
E) That consequential damages may be limited or excluded entirely unless any type of breach of warranty is involved in which case consequential damages may be neither limited nor excluded.

Question

Khushbu Choudhary · Accepted Answer

Final Answer : B, Explanation :  The Uniform Commercial Code (UCC) allows for the limitation or exclusion of consequential damages unless such limitation or exclusion is deemed unconscionable. This means that parties to a contract can agree to limit or exclude consequential damages as long as the agreement is not so unfair or oppressive that it shocks the conscience of the court.

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