Becker v. IRM Corp., 698 P.2d 116 (1985)

Citation: Becker v. IRM Corp., 698 P.2d 116 (1985)
Parent Document: Becker v. IRM Corp., 698 P.2d 116 (1985)
Jurisdiction: California (state)
Effective Date: 1985-04-29
Original Source: https://www.courtlistener.com/opinion/1172788/becker-v-irm-corp/ ↗

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However, the courts have recognized that a contract to build is in effect one of material and labor, that implied warranties are not limited to sales transactions, and that building contracts give rise to a warranty of merchantability and suitability for ordinary use. (Aced v. Hobbs-Sesack Plumbing Co. (1961) 55 Cal.2d 573, 580-583 [12 Cal. Rptr. 257, 360 P.2d 897]; Pollard v. Saxe & Yolles Dev. Co. (1974) 12 Cal.3d 374, 378 [115 Cal. Rptr. 648, 525 P.2d 88]; Green v. Superior Court (1974) 10 Cal.3d 616, 626 [111 Cal. Rptr. 704, 517 P.2d 1168].) And in Pollard v. Saxe & Yolles Dev. Co., supra, 12 Cal.3d 374, 377-380, it was held that an implied warranty of quality attaches to the sale of new construction. The court pointed out that the doctrine of implied warranty in a sales contract is based on the actual and presumed knowledge of the seller, reliance on the seller's skill and judgment, and the ordinary expectations of the parties. The court reasoned that "the builder or seller of new construction not unlike the manufacturer or merchandiser of personalty makes implied representations, ordinarily indispensable to the sale, that the builder has used reasonable skill and judgment in constructing the building. On the other hand, the purchaser does not usually possess the knowledge of the builder and is unable to fully examine a completed house and its components without disturbing the finished product." (12 Cal.3d at p. 379.) The court concluded that "builders and sellers of new construction should be held to what is impliedly represented that the completed structure was designed and constructed in a reasonably workmanlike manner." (Id. at p. 380.)

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