This section is from the book "Business Law - Case Method", by William Kixmiller, William H. Spencer. See also: Business Law: Text and Cases.
George Lewis, an experienced boarding stable keeper, negotiated with a horse trader, Joseph Jenkins, concerning a horse. He described to "Joe" the kind of an animal he desired, and then "Joe" exhibited a certain mare, saying "Here is a six-year old, a good sound animal; the very horse yon want." Mr. Lewis made a careful inspection of the horse, and finally decided to purchase. He paid $124 and took the animal with him. Later, he discovered that his new horse was blind in the left eye. Mr. Lewis sued on the warranty that the horse was sound. Can he recover?
Kelly negotiated with McCormick for the purchase of a harvesting machine. He was given possession of the machine for trial before the commencement of the harvesting season. It did not work successfully, although he used it to cut about 70 acres a grain. He complained to McCormick's agents, and threatened to return it. Thereupon, McCormick's agent warranted the machine to be in perfect order, and as good a machine as could be bought. Belying upon these statements, Kelly agreed to purchase the machine, and gave his note for the purchase price. This was an action by McCormick upon the note.
Kelly contended that the machine was not as warranted, and that, therefore, he was under no obligation to take it.
McCormick contended that the defects complained of were known to Kelly at the time; consequently, were not and could not be warranted against.
Mr. Justice Dickinson said: "It has always been held that a general warranty should not be considered as applying to, or giving a cause of, action for defects known to the parties at the time of making the warranty, and both the weight of authority and reason authorizes this proposition, viz - that for representations in the terms or form of a warranty of personal property, no action will be on account of defects actually known and understood by the purchaser at the time of the bargain." Judgment was given for McCormick.
Express warranties may be general or special. A special warranty is an affirmation directed to a special quality, or fact, in reference to the subject matter. A general warranty covers only such things as are specially warranted against. A general warranty may be directed to the general quality or condition of the subject matter. It will cover every defect which comes within the quality or condition, provided the defect was not obvious. A general warranty will not cover an obvious defect. It is not presumed that there was an intention to warrant against something which was perfectly apparent to the buyer.
Mr. Lewis, of the Story Case, will not recover. He was a man experienced in judging horses, and the blindness of the horse was as obvious to him as to the seller. The statement made by the seller was not a warranty having reference to this defect.
 
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