Allen, a Lawyer, Holds a Garage Sale at His Home

question 51

Multiple Choice

Allen, a lawyer, holds a garage sale at his home to sell some of his old things.Esther purchases a coat at the sale, and uses it during her business trip to Canada that winter.The coat fails to keep her warm.When she gets back to Australia, she angrily returns the coat to Allen and demands a full refund, claiming that Allen is in breach of contract.Is Allen in breach of contract?

• A)Yes, he is in breach of the statutory implied term regarding fitness for purpose.
• B)No, he is not in breach of contract, because there is no contract.
• C)Yes, he is in breach of the statutory implied term regarding merchantable quality.
• D)No, he is not in breach of contract, because the statutory implied terms regarding fitness for purpose and merchantable quality are only implied if the seller ordinarily deals in those types of goods.

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Definitions:

Birds-of-a-Feather Effect

The phenomenon that people tend to form relationships and bond with others who have similar characteristics, such as interests and values.

Foot-in-the-Door Effect

A psychological phenomenon where agreeing to a small request increases the likelihood of agreeing to a larger request later.

Proximity

In psychology, the closeness or physical distance between people that significantly affects attraction and relationship formation; in visual perception, a principle that elements close to one another are perceived as a coherent group.

Physical Attractiveness

The degree to which a person's physical features are considered aesthetically pleasing or beautiful by others.