1. Warranties Law in Society

2. Warranty A warranty is a ____________ or ____________ made by a __________ concerning the _________or ____________ of __________ offered for sale. A warranty is a ____________ or ____________ made by a __________ concerning the _________or ____________ of __________ offered for sale.

3. Express Warranties An express warranty is a statement – written, oral, or by demonstration— concerning the quality or performance of good offered for sale that becomes part of the bargain between the parties. An express warranty is a statement – written, oral, or by demonstration— concerning the quality or performance of good offered for sale that becomes part of the bargain between the parties.

4. Express Warranty Oh yes, you should be able to download at least 200 average songs onto the MP3 Player. Oh yes, you should be able to download at least 200 average songs onto the MP3 Player.

5. Puffing Opinion vs. facts. Opinion vs. facts. Puffing is the opinion of the seller or an obvious exaggeration. Puffing is the opinion of the seller or an obvious exaggeration. “I am the greatest teacher in the Universe!!!” - Mr. Piotrowski “I am the greatest teacher in the Universe!!!” - Mr. Piotrowski

6. http://www.retrojunk.com/ Let’s look for warranties and puffing. Let’s look for warranties and puffing.

7. Puffing or Warranty? In your notes, write a short radio ad for a product that you use on a daily basis. In your notes, write a short radio ad for a product that you use on a daily basis. In it, include an implied warranty and a bit of puffing!!! In it, include an implied warranty and a bit of puffing!!! (5 minutes) (5 minutes)

8. Magnuson-Moss Warranty Act Written warranties must have: Written warranties must have: 1. All terms and conditions in single document1. All terms and conditions in single document 2. In easy to read & understand language2. In easy to read & understand language 3. available before the sale is made.3. available before the sale is made. Explanation of what is covered and who will make them is also included.Explanation of what is covered and who will make them is also included.

9. Implied Warranty An unwritten promise, created by law, that a product will do what it is supposed to do. An unwritten promise, created by law, that a product will do what it is supposed to do. Three types: Three types: Warranty of MerchantabilityWarranty of Merchantability Warranty of fitness or purposeWarranty of fitness or purpose Warranty of titleWarranty of title

10. Merchantability Unwritten promise that item is of at least average quality Unwritten promise that item is of at least average quality A DVD player must play movies…A DVD player must play movies… A drill will make holes…A drill will make holes… (Seller can make disclaimers):(Seller can make disclaimers): I’m selling this “as is” I’m selling this “as is”

11. Fitness of Purpose Consumer tells seller that he/she will use the product for a specific purpose. If the seller sells an item that does not meet your purpose, the warranty is breached. Consumer tells seller that he/she will use the product for a specific purpose. If the seller sells an item that does not meet your purpose, the warranty is breached. I want to buy a computer that will allow me to watch movies. I want to buy a computer that will allow me to watch movies.

12. Warranty of Title Seller must own the item to sell it. Seller must own the item to sell it. No sales of stolen goods!!! No sales of stolen goods!!! I have a bridge I could sell you… I have a bridge I could sell you…

13. What should you learn? Inspect goods before purchasing. Inspect goods before purchasing. Get an expert to assist with inspection. Get an expert to assist with inspection. Read all instructions of products. Read all instructions of products. If you use the product for improper purpose a warranty can be void. If you use the product for improper purpose a warranty can be void.