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A manufacturer of goods can avoid the legal rule of strict liability in a situation where: a. the seller-manufacturer uses due care and diligence in

A manufacturer of goods can avoid the legal rule of strict liability in a situation where:

a. the seller-manufacturer uses due care and diligence in preparing the goods.

b. the seller manufactures products of this type on a regular basis.

c. the seller gives notice of the defect to the buyer-consumer.

d. the product was not in the same condition when the consumer bought it as it was when the manufacturer sold it.

For which of the following product liability theories must the seller be a merchant selling goods of that type?

a.

Implied warranty of fitness.

b.

Negligence.

c.

Strict liability.

d.

Express warranty.

Fitness for a particular purpose and merchantability are implied warranties that apply only to sales by merchants.

a.

True

b.

False

The warranty of title found in Article 2 of the Code:

a.

may be excluded by use of the phrase "as is, with all faults."

b.

is labeled as an "implied warranty".

c.

may not be excluded or modified by the parties.

d.

will apply unless the parties have excluded it by specific language or circumstances.

A legal defense in tort lawsuit that might be successfully used by the seller against an injured buyer of defective goods is called

a.

assumption of the risk

b.

Res ipsa loquitur

c.

negligence per se

d.

equitable cloture

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