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Chapter 24
Warranties -Promise/guarantee by the seller about the quality or performance of a product -May contain statement as to what seller will do to remedy problem if product does not perform -Things to look at: -How long does warranty last? -What’s covered? -What’s the remedy?
Express Warranties -Statement (written, oral, demonstrated) concerning the quality of a product that becomes part of the deal -Salesman saying “TV won’t need repairs for 5 years” -Seeing a vacuum cleaner pick up small particles -Oral, demonstrated warranties difficult to prove -Sellers to do have to give written warranties -If they do… -Must be available before sale -Must be “easy to read” -Must be contained in a single document -Full warranty -Defective product replaced at no cost -Consumer will not have to do anything unreasonable -Product will be fixed in a reasonable time frame -If not, consumer gets new product -Warranty applies to all owners of product -Limited warranty -Covers only certain parts -May not cover labor charges
Implied Warranties -Unwritten promise -Only applies to authorized dealers of a product -Warranty of merchantability -Item sold is of at least average quality -Radio must play music -Warranty is implied except if seller “disclaims” it -“As is” or “final sale” -Warranty of fitness for a particular purpose -Buyer tells seller item is needed for a specific purpose -Seller sells product based on this -Warranty of title -Seller’s promise that product sold is owned by seller -Strict liabilityàdefective products
Disclaimers -Attempt to limit seller’s responsibility -“As is”, “with all faults” -Disclaimer must be written and placed -Sellers may not disclaim or modify any implied warranty during the written warranty’s time frame
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