ch23

West's Business Law with Online Research Guide, 9th Edition

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WARRANTIES OF TITLE Good Title: Except where disclaimed, sellers warrant that they have good and valid title to the goods being sold and that they may rightfully transfer title to the buyer. Quiet Possession: A lessor transfers the rights to possess and use the goods during the lease term, not title to the goods, therefore lessors warrant only that no one has a superior right to possess or use the goods during the lease term. No Liens: Except where disclaimed, sellers warrant that the goods they are selling are free of any liens – that is, any encumbrance on the goods to satisfy a debt or protect a claim for payment of a debt ( e.g. , a security interest on personal property or a mortgage on real property). No Infringements: Except where disclaimed, merchant sellers and merchant lessors warrant that the goods delivered are free from any infringement claims by a third party. Disclaimer: Any of the foregoing warranties can be disclaimed by specific language in the sales contract. Ch. 23: Sales and Lease Warranties - No. 1 West’s Business Law (9th ed.)
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To disclaim them in a lease contract, the language must be specific, written, and conspicuous . Ch. 23: Sales and Lease Warranties - No. 2 West’s Business Law (9th ed.)
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Express Warranty: A seller’s or lessor’s oral or written promise, ancillary to an underlying sales or lease agreement, as to the quality, description, or performance of the goods being sold or leased. Under the UCC, express warranties arise when a seller indicates to the buyer that the goods (1) conform to any affirmation or promise of fact made by the seller to the buyer about the goods, (2) conform to any factual description of the goods made, e.g. , on a label, packaging, or in a brochure, or (3) conform to any sample or model of the goods shown to the buyer prior to purchase. The affirmation, promise, description, sample, or model must: become part of the basis of the bargain between the seller and the buyer; and constitute more than a mere statement of opinion . Ch. 23: Sales and Lease Warranties - No. 3
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ch23 - WARRANTIES OF TITLE Good Title Except where...

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