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Bill attends a garage sale being held by his neighbor. His neighbor very rarely

ID: 419452 • Letter: B

Question

Bill attends a garage sale being held by his neighbor. His neighbor very rarely has a garage sale. At the sale Bill purchases a used lawnmower with the sign on top which clearly states "as is with all faults". Bill paid $75 for the lawn mower and soon after he purchasing it has mechanical trouble with the mower. Which of the following is correct regarding this transaction? Select one: a. Bill's neighbor has made an implied warranty of merchantability. O b. Bill's neighbor has made an express warranty regarding the mechanical condition of the lawnmower. c. Bill's neighbor has made an implied warranty of fitness for a particular purpose specifically that the mower is fit to cut grass d. Bill's neighbor has made no warranties with respect to the lawn mower sold to Bill e. None of the above.

Explanation / Answer

The answer is given below:

a. Bill's neighbor has made an implied warranty of merchantability.

This warranty of merchantability can be explained as a warranty which states the actual condition of the product to be sold by the sales person.