Question: Devi is a self-employed dress designer. Her old computer breaks down just as she is completing a design sketch to send to a client. She

Devi is a self-employed dress designer. Her old computer breaks down just as she

is completing a design sketch to send to a client. She rushes to Office Supplies to

buy a new computer to use in her business. She decides to buy a new desk top

computer for 2,000. She asks Erich, the sales assistant, if it is a good computer and

whether it will run specified software which is used for clothes design. Erich says that

all computers sold are tested in store before being put on the shelf for sale and that

he knows it will run the specified software. Devi signs an agreement to purchase the

new computer which contains the following terms:

1. Office Supplies will not in any circumstances be liable for physical injury

caused by its products.

2. Office Supplies will not be liable for any damage to property caused by its

products.

3. Any other liability of Office Supplies resulting from the sale of defective goods

shall be limited to ten times the value of the goods sold.

As Devi leaves the store she passes and reads a large sign that says:

'We sell computers at the lowest possible price and so all goods sold in this shop

are sold without any warranty as to quality.'

When she gets back to her office she finds the computer will not run the specified

software. When she returns to the office the next morning she sees that the computer

is overheating. As she approaches, it explodes and burns her arm and expensive

cashmere coat. She also suffers some loss of business while she locates a

replacement computer.

Advise Devi.

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