Question

Bob, an attorney, purchased licensed software from Bill Able Inc. to prepare his clients' invoices online. The shrinkwrap packaging for the program disks and the software manuals contained a limitations of remedies clause which limited the buyer's remedies to the $50.00 purchase price of the software. Bob later discovered that his invoices for the past year were too low due to a malfunction in the software, costing him over $10,000 in lost revenue. Bob sues Bill Able Inc. for breach of warranty. What is the likely result?

A. Bob wins because he has equal bargaining power with Bill Able, Inc.

B. Bob wins because such shrinkwrap limitations of remedies clauses are generally unenforceable.

C. Bob loses because the court will likely view the limitations of remedies clause as conscionable and enforceable.

D. Bob loses because the disclaimer is effective.

Answer

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