§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.)