Which implied warranty states that a product is fit for its ordinary purpose?

• A. Implied warranty of merchantability
• B. Implied warranty of fitness for a particular purpose
• C. Statutes of fraud
• D. COD (collect on delivery)

Answer: (A)

The main idea here is that some warranties arise automatically in sales of goods to ensure ordinary use. Implied merchantability is the warranty that a product is fit for the ordinary purpose for which such goods are used. When a seller is a merchant of goods, this warranty generally attaches to the sale unless it’s disclaimed, meaning the product should work as normally expected and be of a quality typical for its category. If a toaster burns out after a few uses or a shirt pills after washing, those would be examples suggesting a failure of merchantability.

In contrast, implied fitness for a particular purpose relates to a scenario where you rely on the seller to help you choose something for a specific, known use. Statutes of frauds are about contract-writing requirements for enforceability, not product warranties. COD (collect on delivery) is a payment arrangement, not a warranty issue.