Reference no: EM131015006
Betty Lobianco had a burglar alarm system installed in her home by Property Protection, Inc. The contract for installing the system provided:
Alarm system equipment installed by Property Protection, Inc. is guaranteed against improper function due to manufac- turing defects or workmanship for a period of 12 months. The installation of the above equipment carries a 90-day warranty. The liability of Property Protection, Inc., is limited to repair or replacement of security alarm equipment and does not include loss or damage to possessions, persons, or property.
On November 22, 1975, Ms. Lobianco's home was burglarized and $35,815 in jewelry was taken. The alarm system, which had been installed less than 90 days earlier, included a standby source of power in case the regular source of power failed. On the day of the fateful burglary, the alarm did not go off because the batteries installed in the system had no power.
Ms. Lobianco brought suit to recover the $35,815. She claimed that the liability limitation was unconscionable and unenforceable under the UCC. Property Protection claimed that the UCC did not apply to the installation of a burglar alarm system. Who is correct? [Lobianco v. Property Protection, Inc., 437 A.2d 417 (Pa. 1981)]
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