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Introductory Business Law/Contracts
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Implied Warranty Of Merchantability For Nonmerchants

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An individual sells a visibly used bicycle at a weekend garage sale. The buyer later returns the bicycle, complaining that the chain is broken, and demands a refund. Is the seller legally required to issue a refund?
AYes, because the buyer is protected by an express guarantee.
BYes, because the buyer has a cause of action under the implied warranty of merchantability.
CNo, because the buyer may have used the bicycle for a purpose other than its intended use.
DNo, because the seller is not a merchant, meaning the implied warranty of merchantability does not apply.
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