UCC Warranties
Lesson:
Under the Uniform Commercial Code, buyers are protected by four types of warranties.
They are:
- Warranty of Title - This warranty guarantees the goods are free from undisclosed liens, encumbrances, or claims of third parties.
- Express Warranty - This warranty guarantees that explicitly stated promises, descriptions, and samples are reliable.
- Implied Warranty of Merchantability - This warranty guarantees that the goods are fit for their ordinary intended purposes
- Implied Warranty of Fitness for a Particular Purpose - This warranty guarantees that the buyer can rely on the seller's expertise when he suggests the items as a solution for a particular purpose.
Tango ltd. is trying to understand the warranties that are attached to each of its sales, as defined under the UCC.
Here's what you know:
- Tango ltd. provided tires that disintegrate quickly when hot to a buyer who requested tires suitable for car races in the hottest part of the desert.
Under the UCC, which category of warranty does Tango ltd. need to worry about in this situation?
Answer:
- Implied Warranty of Fitness for a Particular Purpose
Explanation:
-
This warranty guarantees that the buyer can rely on the seller's expertise when he suggests the items as a solution for a particular purpose.