Contracts and Sales Multistate Bar Practice Exam

When does an express warranty become part of a bargain in a sales contract?

1. When the seller shows proof of reliance by the buyer

2. When it is made at a time the buyer could rely on it

3. When the buyer explicitly asks for a warranty

4. When the seller includes it in the written contract

The correct answer is: When it is made at a time the buyer could rely on it

An express warranty is a statement or guarantee made by the seller regarding the quality, functionality, or suitability of the goods being sold. For an express warranty to be considered part of the bargain in a sales contract, it must be made at a time when the buyer can reasonably rely on it. This means that the statement is made before or at the time of the sale and is intended to be part of the basis for the buyer's decision to enter into the contract. The significance of this timing is crucial; it ensures that the buyer is informed about the product and can make a well-informed decision based on the warranty. If the warranty is made after the buyer has already made the purchase or not in a context where the buyer could consider it, then it does not form part of the bargain and the buyer cannot invoke it. This concept aligns with principles of contract law that hold that promises or statements made prior to or during the formation of the agreement can be integral to the contract itself, as they impact the buyer's expectations and decisions regarding the product.