Jose purchases a new car from Mike’s Deals. The retail installment contract states immediately above the buyer’s signature in large,

Jose purchases a new car from Mike’s Deals. The retail installment contract states immediately above the buyer’s signature in large, bold type: “There are no warranties that extend beyond the description on the face hereof” and “There are no express warranties that accompany this sale unless expressly written in this contract.” Before purchasing the car, Jose specifically informed Mike’s salesperson that he wanted a car that could be driven in a dusty area without needing mechanical repairs. Mike’s salesperson said to Jose, “Nothing will go wrong with this car, but if it does, return it to us, and we will repair it without cost to you.” Neither this statement nor any similar statement appears in the retail sales contract. Jose drives the car into a dust storm. The air filter gets plugged up, and the car engine overheats, causing motor damage. Mike’s refuses to repair the engine under any warranty. Jose claims that Mike’s is liable for breach of the implied warranty of fitness for a particular purpose, that the Magnuson-Moss Warranty Act prohibits disclaiming this implied warranty, and that the salesperson’s express warranty has also been breached. What are the problems with Jose’s claims?


CategoriesUncategorized

Leave a Reply

Your email address will not be published. Required fields are marked *