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using the IRAC analysis method please answer Adam steals from Business Resources

ID: 397259 • Letter: U

Question

using the IRAC analysis method please answer

Adam steals from Business Resources, Inc., ten computer hard drives, which Adam sells to Computer Products Corporation (CPC). Unaware that the drives are stolen, CPC reconditions them and sells them to Direct Marketers, Inc. With the reconditioned drives, CPC gives Direct Marketers a written statement that disclaims “any and all warranties.” Business Resources learns that Direct Marketers has the drives and de­mands their return. Direct Marketers gives the equipment to Business Resources and files a suit against CPC. Will Direct Marketers succeed in its suit? Why or why not?

Explanation / Answer

Under contract of sale of a good it is the duty of buyer to primarily check if the source of goods which they are purchasing are good or not. henec here also it was duty of CPC to examine the authenticity of computer hand drives when Adam sold them to it. Not only it avoids examining it also gives written statement disclaiming “any and all warranties.” which given direct marketers right over CPC to demand for any damage occurred because of their negligence.

Hence here direct marketers can success in its suit.