Contracts: Contract Terms: Seller's Warranties of Quality under A2

• Seller’s Warranties of Quality in a Sale of Goods under Article 2

• BAR TIP: Look first for express & implied warranties, then for disclaimers/limitations.

• A Seller is liable to a buyer for breach of any express warranty the seller makes.

• Express warranties = statements of fact, promises and descriptions of the goods.
• Mere expressions of opinions (vague, general, subjective language) are not express warranties.
• “This podium is solid mahogany” – Express warranty, statement of fact

• “This computer is guaranteed for 2 years.” – Express warranty, promise.

• “All parts are top quality.” – NOT express warranty, merely an expression of sellers opinion

• Seller’s use of a sample or model – Express warranty. I can reasonable assume that the model is exactly the same as I have been shown.

• To be actionable, an express warranty must be a basis of the bargain.

• Implied warranty of merchantability – goods are fit for their ordinary purpose.

• Arises when SELLER is a merchant who deals in goods of the kind because he has special knowledge about the particular goods involved.

• Implied warranty of fitness for a particular purpose – goods are fit for the buyer’s special purpose.

• BUYER has special purpose in mind; buyer is relying on the seller to select suitable goods; and SELLER knows both of these facts (seller does not have to be a merchant).