1. Complete the sentences, using the appropriate words from the box:

Properly; dealers; express; stolen; defects; merchantability; title; promise.

1. Many consumers believe they have no protection if a new product without … warranties does not work.

2. An implied warranty is an unwritten …, created by law, that a product will do what it is supposed to do.

3. Implied warranties apply only to products sold by … .

4. A warranty of … is an unwritten promise that the item sold is of at least average quality for that type of item.

5. A warranty of … is a seller’s promise that he or she owns the item being offered for sale.

6. If a person sells … goods, the warranty of title has been broken.

7. Carefully inspect for … any goods you buy.

8. If you fail to use the product…, you may cancel the warranty.

2. Are the statements true (+) or false (-)? Correct the false statements.

1. An implied warranty is an unwritten promise, created by law, that a product will do what it is supposed to do.

2. Implied warranties apply to all products.

3. A warranty of merchantability is a seller’s promise that he or she owns the item being offered for sale.

4. A warranty of fitness for a particular purpose is an unwritten promise that the item sold is of at least average quality for that type of item.

5. A warranty of title exists when a consumer tells a seller before buying an item that it is needed for a specific purpose or will be used in a certain way.

6. If you fail to use the product properly, or if you use it for an improper purpose, you may cancel the warranty.

Achievement Test 2 (Units 10–18)

Find suitable endings to these sentences (sometimes more than one option is possible):

1. Consumers should be cautious regarding sales offers made by telephone because:

A – some salespeople use high–pressure tactics and smooth talk to get you buy things that you otherwise wouldn’t buy.

B – many fraudulent schemes are conducted this way.

C – the cooling–off period of three days does not apply to telephone sales.

D – your credit card number may be used to get your money.

2. Tobacco advertising is controversial because:

A – it is everywhere.

B – smoking is the nation’s leading preventable cause of death.

C – it is prohibited on radio and television.

D – more billboards are located in neighborhoods where poor people live than elsewhere.

3. Ads sometimes mislead consumers because:

A – they try to create a desire for products that consumers don’t really need or want.

B – they appeal to emotions.

C – they are based on the seller’s opinion and personal taste.

D – they provide the kind of factual information needed to make a wise buying decision.

4. Sales techniques appeal to our emotions because:

A – they associate products with popular ideas or symbols and promote the idea that everybody’s using the product.

B – they have famous athletes or movie stars to advertise the product and try to convince consumers by resorting to the claims of authorities.

C – they are based on the notion that seeing is believing and try to make us laugh.

D – all the abovementioned ideas.

5. The bait and switch sales technique is:

A – an insincere offer to sell a product on terms that are too good to be true.

B – a sales technique to get a consumer in the store.

C – a try to sell some specials at very low prices.

D – a kind of advertising something that does not sell well.

6. Mail shopping is convenient because:

A – items may cost less.

B – some items may be available that are not available in local stores.

C – mail–order packages always arrive on time.

D – some free items can be sent in exchange for subscriptions or memberships.

7. The elements of a contract are:

A – an offer by one party.

B – an acceptance by the other party.

C – mutual agreement.

D – an exchange of consideration.

8. Minors can make a contract if:

A – they are over 18.

B – any other adult cosigns it.

C – it is ratified.

D – they are not forced to carry out their promises and.

9. Some contracts are illegal because:

A – they are unenforceable in court.

B – they are against public policy.

C – they are unfair.

D – there is very uneven bargaining power between the parties.

10. An implied warranty is:

A – a statement concerning the quality or performance of goods of­fered for sale that becomes a part of the bargain between the parties.

B – an unwritten promise, created by law, that a product will do what it is supposed to do.

C – an unwritten promise that the item sold is of at least average quality for that type of item.

D – a seller’s promise that he or she owns the item being offered for sale.

UNIT 19. Disclaimers

1. Complete the sentences, using the appropriate words from the box:

as is; disclaim; with all faults; opportunity; liable; remedy; limit.

1. A disclaimer is an attempt to … the seller’s responsibilities should anything go wrong with a product.

2. Sellers can usually disclaim the implied warranty of merchantability by using such expressions as “…” or “...”.

3. Under the Magnuson–Moss Warranty Act, sellers offering a writ­ten warranty may not … any implied warranty dur­ing the effective period of the written warranty.

4. Sellers sometimes use disclaimers to limit the consumer’s ….

5. The seller is not … in damages for injury to persons or property.

6. Courts will require that the buyer give the seller a reasonable … to repair the product.

2. Are the statements true (+) or false (-)? Correct the false statements.

1. A disclaimer is an attempt by the store to avoid responsibility for anything that goes wrong with the product.

2. Unless these or other easily understood words are used, the seller must actually use the word merchantability in disclaiming the im­plied warranty of merchantability.

3. It is impossible to disclaim the implied warranty of merchantability.

4. To be effective, the disclaimer must be written so as to be easily seen by the consumer.

5. Sellers sometimes use disclaimers to enlarge the consumer’s remedy.

UNIT 20. Credit