Appalachian brought an action for revocation of acceptance of the four trucks, a refund of the purchase price, incidental damages, and consequential damages. Decision?

Appalachian brought an action for revocation of acceptance of the four trucks, a refund of the purchase price, incidental damages, and consequential damages. Decision?

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Appalachian is a coal hauling company in southern West Virginia. Appalachian purchased four new Mack trucks for off-road coal hauling purposes. Appalachian purchased three of the trucks for $165,000 each and the fourth for $175,000. The trucks were sold to Appalachian by Worldwide, a franchised retail dealer for Mack. The express warranty made with regard to Appalachian’s purchase of the four trucks validly disclaimed implied warranties and limited the express warranty to repairing or replacing defective parts. According to Appalachian, each of the four trucks failed to function properly due to a multitude of problems beginning immediately after the purchase. The trucks continually broke down, resulting in repeated instances of driving or towing the trucks back for repairs. The problems included not running, hard starting, transmission problems, overheating, leaking water pump, hoods falling off, and cabs falling apart. Although Worldwide never declined to try to repair the trucks, the repairs were never successful and replacement vehicles were never provided. Appalachian brought an action for revocation of acceptance of the four trucks, a refund of the purchase price, incidental damages, and consequential damages. Decision?

Answer and ExplanationSolution by a verified expert
Explanation The trucks sold under the contract had manufacturing defects, and even after the repairs service, they did not perform well. This proves that the issue is in the services provided by C...

Explanation

The trucks sold under the contract had manufacturing defects, and even after the repairs service, they did not perform well. This proves that the issue is in the services provided by Company W.
By issuing disclaimer of implied warranty, Company W cannot relieve itself from the damages caused to Company A from of the supply of low-quality trucks. Company A purchased the trucks in good faith with the intention of buying good products for its business.

Verified Answer

The judgement would be in favor Company A based on the limitation of remedy. Though Company W have both an express warranty and a disclaimed implied warranty, it is held responsible for the damages caused to Company A.
The warranty is basically issued to ascertain the buyers that the product sold is of good quality. Company A has purchased four trucks and faced issues in all the trucks. For this reason, Company A was not at the best side of its bargain.

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