25-2-314. Implied warranty: Merchantability; usage of trade.
(1) Unless excluded or modified (G.S. 25-2-316), a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with respect to goods of that kind. Under this section the serving for value of food or drink to be consumed either on the premises or elsewhere is a sale.
(2) Goods to be merchantable must be at least such as
(a) pass without objection in the trade under the contract description; and
(b) in the case of fungible goods, are of fair average quality within the description; and
(c) are fit for the ordinary purposes for which such goods are used; and
(d) run, within the variations permitted by the agreement, of even kind, quality and quantity within each unit and among all units involved; and
(e) are adequately contained, packaged, and labeled as the agreement may require; and
(f) conform to the promises or affirmations of fact made on the container or label if any.
(3) Unless excluded or modified (G.S. 25-2-316) other implied warranties may arise from course of dealing or usage of trade. (1965, c. 700, s. 1.)
Structure North Carolina General Statutes
North Carolina General Statutes
Chapter 25 - Uniform Commercial Code
§ 25-2-102 - Scope; certain security and other transactions excluded from this article.
§ 25-2-103 - Definitions and index of definitions.
§ 25-2-104 - Definitions"Merchant"; "between merchants"; "financing agency."
§ 25-2-105 - Definitions"Transferability"; "goods"; "future" goods; "lot"; "commercial unit."
§ 25-2-107 - Goods to be severed from realty; recording.
§ 25-2-201 - Formal requirements; statute of frauds.
§ 25-2-202 - Final written expression; parol or extrinsic evidence.
§ 25-2-203 - Seals inoperative.
§ 25-2-204 - Formation in general.
§ 25-2-206 - Offer and acceptance in formation of contract.
§ 25-2-207 - Additional terms in acceptance or confirmation.
§ 25-2-209 - Modification, rescission and waiver.
§ 25-2-210 - Delegation of performance; assignment of rights.
§ 25-2-301 - General obligations of parties.
§ 25-2-302 - Unconscionable contract or clause.
§ 25-2-303 - Allocation or division of risks.
§ 25-2-304 - Price payable in money, goods, realty, or otherwise.
§ 25-2-306 - Output, requirements and exclusive dealings.
§ 25-2-307 - Delivery in single lot or several lots.
§ 25-2-308 - Absence of specified place for delivery.
§ 25-2-309 - Absence of specific time provisions; notice of termination.
§ 25-2-310 - Open time for payment or running of credit; authority to ship under reservation.
§ 25-2-311 - Options and cooperation respecting performance.
§ 25-2-312 - Warranty of title and against infringement; buyer's obligation against infringement.
§ 25-2-313 - Express warranties by affirmation, promise, description, sample.
§ 25-2-314 - Implied warrantyMerchantability; usage of trade.
§ 25-2-315 - Implied warrantyFitness for particular purpose.
§ 25-2-316 - Exclusion or modification of warranties.
§ 25-2-317 - Cumulation and conflict of warranties express or implied.
§ 25-2-318 - Third party beneficiaries of warranties express or implied.
§ 25-2-319 - F.O.Band F.A.Sterms.
§ 25-2-320 - C.I.Fand C& Fterms.
§ 25-2-322 - Delivery "ex-ship."
§ 25-2-323 - Form of bill of lading required in overseas shipment; "overseas."
§ 25-2-324 - "No arrival, no sale" term.
§ 25-2-325 - "Letter of credit" term; "confirmed credit."
§ 25-2-326 - Sale on approval and sale or return; rights of creditors.
§ 25-2-327 - Special incidents of sale on approval and sale or return.
§ 25-2-401 - Passing of title; reservation for security; limited application of this section.
§ 25-2-402 - Rights of seller's creditors against sold goods.
§ 25-2-403 - Power to transfer; good faith purchase of goods; "entrusting."
§ 25-2-501 - Insurable interest in goods; manner of identification of goods.
§ 25-2-502 - Buyer's right to goods on seller's repudiation, failure to deliver, or insolvency.
§ 25-2-503 - Manner of seller's tender of delivery.
§ 25-2-504 - Shipment by seller.
§ 25-2-505 - Seller's shipment under reservation.
§ 25-2-506 - Rights of financing agency.
§ 25-2-507 - Effect of seller's tender; delivery on condition.
§ 25-2-508 - Cure by seller of improper tender or delivery; replacement.
§ 25-2-509 - Risk of loss in the absence of breach.
§ 25-2-510 - Effect of breach on risk of loss.
§ 25-2-511 - Tender of payment by buyer; payment by check.
§ 25-2-512 - Payment by buyer before inspection.
§ 25-2-513 - Buyer's right to inspection of goods.
§ 25-2-514 - When documents deliverable on acceptance; when on payment.
§ 25-2-515 - Preserving evidence of goods in dispute.
§ 25-2-601 - Buyer's rights on improper delivery.
§ 25-2-602 - Manner and effect of rightful rejection.
§ 25-2-603 - Merchant buyer's duties as to rightfully rejected goods.
§ 25-2-604 - Buyer's options as to salvage of rightfully rejected goods.
§ 25-2-605 - Waiver of buyer's objections by failure to particularize.
§ 25-2-606 - What constitutes acceptance of goods.
§ 25-2-608 - Revocation of acceptance in whole or in part.
§ 25-2-609 - Right to adequate assurance of performance.
§ 25-2-610 - Anticipatory repudiation.
§ 25-2-611 - Retraction of anticipatory repudiation.
§ 25-2-612 - "Installment contract"; breach.
§ 25-2-613 - Casualty to identified goods.
§ 25-2-614 - Substituted performance.
§ 25-2-615 - Excuse by failure of presupposed conditions.
§ 25-2-616 - Procedure on notice claiming excuse.
§ 25-2-701 - Remedies for breach of collateral contracts not impaired.
§ 25-2-702 - Seller's remedies on discovery of buyer's insolvency.
§ 25-2-703 - Seller's remedies in general.
§ 25-2-705 - Seller's stoppage of delivery in transit or otherwise.
§ 25-2-706 - Seller's resale including contract for resale.
§ 25-2-707 - "Person in the position of a seller."
§ 25-2-708 - Seller's damages for nonacceptance or repudiation.
§ 25-2-709 - Action for the price.
§ 25-2-710 - Seller's incidental damages.
§ 25-2-711 - Buyer's remedies in general; buyer's security interest in rejected goods.
§ 25-2-712 - "Cover"; buyer's procurement of substitute goods.
§ 25-2-713 - Buyer's damages for nondelivery or repudiation.
§ 25-2-714 - Buyer's damages for breach in regard to accepted goods.
§ 25-2-715 - Buyer's incidental and consequential damages.
§ 25-2-716 - Buyer's right to specific performance or replevin.
§ 25-2-717 - Deduction of damages from the price.
§ 25-2-718 - Liquidation or limitation of damages; deposits.
§ 25-2-719 - Contractual modification or limitation of remedy.
§ 25-2-720 - Effect of "cancellation" or "rescission" on claims for antecedent breach.
§ 25-2-721 - Remedies for fraud.
§ 25-2-722 - Who can sue third parties for injury to goods.
§ 25-2-723 - Proof of market price; time and place.