Also known as: implied warranties of quality · implied warranty
Written by attorneys · grounded in primary & secondary sources — see below
2 senses
An implied warranty that a newly constructed home is built in a reasonably workmanlike manner and is suitable for human habitation.
An implied warranty under the Uniform Commercial Code that goods will be fit for a particular purpose when the seller knows of the buyer's purpose and the buyer relies on the seller's skill or judgment.
An implied warranty that a newly constructed home is built in a reasonably workmanlike manner and is suitable for human habitation.
Select any source to read its text and confirm it supports the definition.
An implied warranty under the Uniform Commercial Code that goods will be fit for a particular purpose when the seller knows of the buyer's purpose and the buyer relies on the seller's skill or judgment.
Select any source to read its text and confirm it supports the definition.
Each sense below has its own examples, sources, and questions.
Igor Ito leased a warehouse to Imperial Motors for vehicle storage. After Imperial took possession, a lighting fixture that the landlord had installed fell and injured an employee because the fixture violated the local electrical code. Igor had known of the fixture's instability but made no repairs. The employee recovered damages from Igor because the dangerous condition breached the implied warranty of habitability incorporated into the lease.
Ian Iverson purchased a newly built home from Imperial Motors. Two years later Ian sold the home to Isla Ireland. Isla discovered that the foundation had been poured without proper reinforcement. She sued Imperial Motors for breach of the implied warranty of quality. The court dismissed the claim because Isla lacked privity with the original builder.
Isaiah Ishikawa leased a building to Ironclad Industries. A wall on the leased property collapsed outward and damaged a neighboring structure. The collapse resulted from a condition that violated the implied warranty of habitability. The court held the landlord not liable to the neighbor because the harm occurred outside the leased premises.
Ilana Isaacs bought a new home from a developer. She sold it to Ivy Investments after one year. Ivy discovered latent structural defects that made the home unsafe. Ivy sued the original developer for breach of the implied warranty of quality. The court dismissed the suit for lack of privity with the builder.
Courts are divided. Some jurisdictions require privity with the original builder-vendor and therefore deny recovery to later buyers. Other courts permit subsequent purchasers to enforce the warranty when latent defects affect habitability.
Supporting sources
The plaintiff must show purchase of a new home from a builder-vendor, that the home was not delivered in a workmanlike condition, and resulting damages. The warranty protects against latent construction defects that affect habitability.
Supporting sources
A landlord is liable for physical harm caused by a dangerous condition if the landlord failed to exercise reasonable care to repair it and the condition violates the implied warranty of habitability or a statutory duty. The harm must occur on the leased property with the tenant's consent.
Supporting sources
Ibrahim Iqbal told Insight Consulting he needed mooring lines for year-round use in subzero ports with heavy ice. Insight recommended a synthetic line and Iqbal purchased it. The lines snapped during the first winter storm. Iqbal recovered because the seller knew of the particular purpose and Iqbal relied on the seller's judgment.
Imperial Motors sold used equipment to Insight Consulting under a contract stating the goods were sold "as is." The equipment failed to perform its intended function. Insight sued claiming breach of an implied warranty of quality. The court held that the "as is" language excluded all implied warranties.
An "as is" clause or similar language excludes implied warranties when it calls the buyer's attention to the exclusion and makes plain that no warranty exists. The exclusion is effective unless the circumstances indicate otherwise.
Supporting sources
…A modern urban tenant's leasehold often includes not only contractual, but also statutory, rights, including the rights to an implied warranty of habitability, rent control, and such services as the landlord is obliged by statute to provide. Cf. n. 7, supra. [^maj-32]: Happily, the Court leaves open the question whether § 828…