What warranties should they allege were breached

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Reference no: EM131473911

Question: In an attempt to save on utility costs, Metro National Corp. decided to construct a thermalenergy-storage system to replace its centralair-conditioning system at Memorial City Medical Center. Metro contacted Morris & Associates about purchasing three of its ice harvesters (which are essentially industrial icemakers). Dunham-Bush manufactured a specially engineered compressor, the 1216SE, for use in the Morris harvesters. Hoping to enter this burgeoning market, Dunham-Bush assured Morris that the compressors were specially designed, reliable, and suitable for use under the predicted field conditions. In addition, Dunham-Bush extended its usual one-year warranty to a five-year one on the 1216SE. On several occasions, Morris assured Metro that the compressors were extremely reliable, and Dunham-Bush quickly replaced a compressor that immediately failed. Metro ordered two more units later that year. The compressors experienced a 70 percent failure rate. Metro gave up on the Morris systems and purchased instead a new 200-ton central-air-conditioning system. If Metro were to sue Dunham-Bush for breach of warranty, what warranties should they allege were breached? Should the court find that the warranties had been breached?

Reference no: EM131473911

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