Anthony Went into a Hardware Store to Purchase a Saw

question 64

Multiple Choice

Anthony went into a hardware store to purchase a saw. The salesclerk said of a particular saw, "This saw will cut through metal." Anthony purchased the saw. What kind of warranty, if any, did the salesclerk make through the statement?

• A) The salesclerk made an express warranty, a warranty of trade usage, and a warranty of fitness for a particular purpose.
• B) The salesclerk made a warranty of fitness for a particular purpose, but not an express warranty or a warranty of trade usage.
• C) The salesclerk made an express warranty and a warranty of trade usage, but not a warranty of fitness for a particular purpose.
• D) The salesclerk made an express warranty, but not a warranty of fitness for a particular purpose or a warranty of trade usage.
• E) The salesclerk made a warranty of trade usage, but not a warranty of fitness for a particular purpose or an express warranty.

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Definitions:

Novation

The act of replacing an old obligation with a new one, substituting a new party for an original party in an agreement, with the consent of all parties involved.

Restitution

The act of restoring or compensating someone for loss, damage, or injury that has been incurred.

Repudiated Contract

This term refers to a contract that has been rejected or declared void by one of the parties involved, indicating they do not intend to fulfill their contractual obligations.

Liquidated Damages

A contractual provision that determines in advance the amount of damages to be paid if a party breaches the agreement.