LAW 506-002 – Contracts II

UCC § 2-314


Implied Warranty: Merchantability; Usage of Trade.

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  1. Unless excluded or modified ([UCC § 2-316]), a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with respect to goods of that kind. Under this section the serving for value of food or drink to be consumed either on the premises or elsewhere is a sale.
  2. Goods to be merchantable must be at least such as
    1. pass without objection in the trade under the contract description; and
    2. in the case of fungible goods, are of fair average quality within the description; and
    3. are fit for the ordinary purposes for which such goods are used; and
    4. run, within the variations permitted by the agreement, of even kind, quality and quantity
    5. within each unit and among all units involved; and
    6. are adequately contained, packaged, and labeled as the agreement may require; and
    7. conform to the promise or affirmations of fact made on the container or label if any.
  3. Unless excluded or modified ([UCC § 2-316]) other implied warranties may arise from course of dealing or usage of trade.