- 1. Describe the performance of sales and lease contracts. (3 points)
- Brenda Buyer, who is located in Atlanta, orders 10,000 pencils from Sammy Seller, who is located in Boston, Mass. The pencils are destroyed when the trucker has an accident while traveling between the two destinations. Who bears the risk of loss under the common law? Under the UCC? (2 points)
- Assume the facts in Problem 1. The pencils safely arrive in Atlanta, but Brenda discovers that they were defective. She accepts delivery but returns the pencils six months later and asks Sammy for a full refund. Must Sammy pay her? (2 points)
- Samantha Seller contracts with Beth Buyer and agrees to deliver 1,000 chairs to her. Offer, acceptance, and consideration are all present. The chairs arrive, but Beth discovers that 500 chairs are broken. What rights does Beth have under the UCC? (5 points)
Chapter 12
- Describe express warranties, implied warranties of merchantability and fitness for a particular purpose. (3 points)
- (a) List the responsibilities of the Federal Food and Drug Administration. (b) Describe its regulation of drugs, cosmetics, and medicinal devices. (4 points)
- Explain the coverage of consumer product safety acts. (1 point)
- Brenda Buyer purchases a new car from a local retailer, Klassy Kars. Klassy Kars, Inc. purchased the car, along with many others from Auto World, the regional distributor of cars of that type. Auto World, in turn, acquired the car from Tonda, the manufacturer of the car. One sunny day, Brenda slams on her brakes to avoid the car, but her brakes lock and her air bad deploys. The ensuing crash and airbag deployment seriously injure Brenda.
Who would Brenda sue and which legal theories should she utilize? (1 point)
Would your answer change, if after the crash, police tested Brenda’s blood, and tests confirmed that she had four times the legal limit of alcohol in her blood? (1 point)
What if the distributor, Auto World, removed the original air bags and installed its own? (1 point)
