a. Plaintiff Joe was in the van conversion business. He used 3M adhesive to laminate carpeting to van walls. The adhesive did not hold in hot weather. Joe asked the Defendant, Second Adhesive Co., to provide a similar adhesive such as 3M only with holding power in warm weather and environment. Defendant presented an adhesive with power to “match that of the 3M product.” Plaintiff applied this adhesive in place of 3M, but began to get more complains that occurred with 3M application. 500 Vans were recalled to Joe’s work site for repair at no cost to the customer. Plaintiff Joe sued Defendant Second Adhesive Co. for breach of express warranty, implied warranty of merchantability, and implied warranty of fitness for a particular purpose. How should the court rule regarding each of these charges? Explain your reasoning. Remember to reflect on the impact this type of suit has on business today.
Answer - Express warranty, implied warranty of merchantability and implied warranty of fitness are for consumer protection. Warranty of merchantability stands for goods to comply with normal buyer's expectations and implied warranty of fitness refers to buyer relies on the seller that the goods sold by him will comply with the quality and other expected standards and express warranty stands for the seller's agreement to repair or replace the faulty product. In the case mentioned above these three types of warranty breach that Joe sued Defendant Second Adhesive Co. were on correct grounds considering the product didn't meet the expectations of Joe and in turn, has caused a heavy cost of repair of 500 vans. The court should consider these factors and decide on a judgment.
These warranties are very relevant in today's business as well. With growing competition among peer industries, companies often develop the tendency to race for profit by diluting the quality of the products. The presence of these types of warranties ensures that these sinful strategies of the company would, in turn, teach them a lesson by paying hefty cost and loss of brand image while the customer is protected to command a return/replacement and/or refund of the product. This gives bargaining power to the customer while preventing companies to do unethical business for any reason.
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a. Plaintiff Joe was in the van conversion business. He used 3M adhesive to laminate carpeting...