Asked by Dianna Juanes on Jun 01, 2024
Verified
It is not possible for the implied warranty of merchantability to be breached if a merchant does not know or could not have discovered that its product was defective.
Implied Warranty
A legal assumption that goods are fit for the purpose for which they were sold, even if not explicitly stated.
Merchantability
A warranty that a product sold will meet reasonable expectations of the buyer, including that it is of average acceptable quality and is fit for the purpose for which it is sold.
Defective
Pertaining to a lack of perfection, flaws, or deficiencies in a product, service, or legal document that impair its quality, functionality, or legality.
- Attain insight into the concept of warranty and identify the variances between express and implied warranties.
- Examine the role of intention, knowledge, and reliance in the formation and effectiveness of warranties.
Verified Answer
SP
Shilvi PatelJun 02, 2024
Final Answer :
False
Explanation :
The implied warranty of merchantability guarantees that a product will work as expected, regardless of whether the merchant knew or could have discovered the defect. This warranty is breached if the product is defective, even if the merchant was unaware of the defect.
Learning Objectives
- Attain insight into the concept of warranty and identify the variances between express and implied warranties.
- Examine the role of intention, knowledge, and reliance in the formation and effectiveness of warranties.