GARLOCK SEALING TECHNOLOGIES v.NAK SEALING TECHNOLOGIES CORP., Part III
Trial court's finding of fact and conclusion of law that defendant manufactured allegedly defective products in compliance with specifications plaintiff supplied does not preclude finding that defendant breached implied warranty of merchantability where the implied warranty and the express warranty of plaintiff's specification can be reasonably construed as consistent and cumulative, such as where specification requested standard product but did not tell defendant how to make the product. Uniform Commercial Code provision excluding implied warranty as to readily discoverable defects where buyer inspected or refused to inspect goods did not apply where buyer performed tests that were commonly done in industry and gave reasonable explanation as to why it did not do more extensive testing that would have resulted in discovery of defects. Trial court's finding that seller breached implied warranty of merchantability was supported by substantial evidence that product failed in normal use. Trial court's finding that consequential damages were foreseeable was supported by substantial evidence where plaintiff, while aware of problems with another product of defendant's, did not know the cause of that problem and did not continue to sell the product over which it sued to its customer after it learned the cause of the problem and had an available alternative.
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