Question: John is looking to purchase a SUV to pull the new boat that he just purchased. He told the salesperson the type of boat he
John is looking to purchase a SUV to pull the new boat that he just purchased. He told the salesperson the type of boat he was going to tow and asked him which SUVs would do the job. Based on the salesmans recommendation, John purchased a new Honda CRV. However, the first time John went to tow the boat with his new CRV, his vehicle struggled to pull the boat up even up the smallest hill and he was barely able to stop the vehicle just missing plowing into several stopped vehicles. Disgusted John returns the vehicle to the dealership and demands his money back. Question 1: a) Does John have any basis for demanding his money back. Explain your answer. At the dealership, Slick Wilie, the manager looks at the purchase agreement and tells John sorry but the contract specifically states in the small print on the second page All sales final. There are no warranties, expressed or implied b) Is the warranty disclaimer effective? Why or why not? c) Does it matter at all to your analysis whether John and the dealership are merchants? d) What if the salesperson told John during a conversation before he purchased the SUV, that the dealership gives no implied warranties of fitness for a particular purpose. e) What if the dealership wanted to disclaim all warranties. What would that require?
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