MacNeil v. Cannon - Sales of Goods

Question 1

Facts

Answer 1

MacNeil contracts to provide car floor mats for Hyundai, and contracts with Cannon to supply them. Cannon said it could “manufacture a quality mat” with “carpet that properly adhered to mat” which would “meet MacNeil’s expectations of quality” and be “suitable for their purposes.” When carpet did not properly adhere, MacNeil sued Cannon for breach of Warranty. Cannon said it made no express warranties.

Question 2

Issue

Answer 2

May Cannon be liable for breach of express warranty based on the statements it made to MacNeil? If so, based on which statements?

Question 3

Holding

Answer 3

Yes, Cannon may be liable for breach of warranty based on its alleged representation regarding carpet-mat adhesion, but not its statements regarding “quality mats” that would “meet expectations of quality” and “would be suitable.”

Question 4

Reasoning:

To be actionable as express warranty, statement must be?

Hint 3

Specific factual statements can be expressed warranties: example statements

hint 2

Answer 4

To be actionable as express warranty, statement must be:

(1) regarding a fact (not opinion) that can be proven false;
(2) of which buyer is ignorant; and
(3) that becomes basis of bargain

Product would be “free of defects”
Product would “work for a reasonable amount of time”

the statement “properly adhere to the mat” was factual and specific- True or False

Question 5

Business Key Takeaway

Answer 5

Note: Express warranties potentially include not only a (1) Statement or promise relating to goods, but also (2) Description of Goods, or (3) Example or Model … on which Buyer relies.

**State sale “As- Is” in contract