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Unit 2 test1The purpose of contracts is __________.to eliminate any disagreement in economic exchangesto bring order to medieval societiesto facilitate economic transactions between individualsto limit personal freedomCONCEPTGeneral Perspectives on Contracts2Select the statement that is true of consumer law prior to the 20th century.It incorporated the concepts of express and implied warranties.It forced sellers to take financial responsibility for any defects in products they sold.It was more important than it is now, because consumer products were less sophisticated.The burden of responsibility generally rested on the buyer.CONCEPTProducts Liability3
An example of foreseeable damages from a faulty repair of your car that led to an accident would be __________.your loss of one year's wages from a job, since you were fired that day for being late after the accidentadditional hotel and travel charges that you incurred, because you missed your flight that day as a result of the accidentyour loss of a winning lottery ticket that blew away in the wind during the accidentthe cost to repair your vehicle, as well as all damage to other vehicles involved in the accidentCONCEPTLimitations on Contract Remedies4A manufacturer of a portable circular saw is sued by Dennis, who, while using the saw, put it down on the ground in front of him after it was shut off but while the blade was still turning. The still-circulating saw creeped across the floor, causing significant personal injury to Dennis' foot. Dennis sued the manufacturer for defective design of the circular saw based on it not having a brake mechanism or a retractable cover for the blade once the saw was turned off.How strong of a case does Dennis have in his strict liability lawsuit against the manufacturer based on the defective design of the circular saw?Weak, because there is no evidence that the saw was unreasonably dangerous in normal use.Strong, because the saw was unreasonably dangerous under circumstances that would be foreseeable as normal use by a consumer.
Strong, but only if Dennis can prove that the saw was less safe when turned off than other saws on the market.Weak, because Dennis assumed the risk of injury when he chose to use a circular saw, which is known to be dangerous.