Manufactured Housing Practice Test

What happens to an agreement where a buyer waives their rights under a warranty?

1. Is still enforceable only if witnessed by a third party

2. Is contrary to public policy and is void

3. Is still enforceable in writing signed by both parties

4. Is enforceable whether verbal or written

The correct answer is: Is contrary to public policy and is void

When a buyer waives their rights under a warranty, the agreement becomes problematic in terms of its enforceability. The core reason behind this is that waiving rights under a warranty can significantly undermine consumer protections that are established to ensure fairness in transactions. Public policy often dictates that consumers should not be unfairly deprived of their rights to receive goods that meet certain standards of quality and performance. These warranties are essential for protecting buyers from defective products. As a result, when an agreement prompts a buyer to waive their warranty rights, it is viewed as contrary to public policy. Such provisions are often seen as fostering an imbalance in the relationship between the buyer and seller, potentially allowing sellers to escape liability for defects or failures in the product, which could ultimately harm consumers. Therefore, agreements that involve the waiver of warranty rights are typically deemed void, emphasizing the importance of maintaining consumer protections in the marketplace.