Question

In: Accounting

Julia bought a brand new puppy for $400. She purchased the puppy from Mary, a person...

Julia bought a brand new puppy for $400. She purchased the puppy from Mary, a person who regularly sells puppies and has done so for a number of years. Julia took her new friend home but realized that he was not in the best of health. Already attached to him she did not return the puppy to Mary, but instead took him to the vet. Costing $2,400 in vet bills, the puppy was medically mended Julia then sued Mary for her $400 purchase price and $2,400 in vet bills, alleging breach of implied warranty of merchantability.

(1) Is this transaction governed under UCC article 2?

(2) Is barnes a merchant?

(3) if so, does an implied warranty of merchantability attach to this sale?

(4) What damages are available if this is a breach of the implied warranty of merchantability?

Please Explain

Solutions

Expert Solution

Is this transaction governed under UCC article 2?

Yes, this transaction is covered under the UCC because the companion animal has been purchased from a merchant. Unified commercial code signifies that if pets are purchased from the merchant then the pets are considered as deemed”goods”.

(2) Is barnes a merchant?

Yes, because barnes is involved in regular sale and purchase of pets and there has been a contnious series of such transaction.

(3) if so, does an implied warranty of merchantability attach to this sale?

Yes, there has always been an implied warranty of marketable goods. Such goods that are sold must be marketable. This means that they must be fit for the sale.

(4) What damages are available if this is a breach of the implied warranty of merchantability?

The remedies may include but not limited to

  1. The pet can be returned or exchanged.
  2. Pet can be returned for a refund
  3. Claim can be made for the reasonable veterinary expenses.


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