merchantable
Definition
Merchantable means a product is fit for its ordinary, everyday purpose and meets the basic quality standards that a reasonable buyer would expect. When you sell something, the law automatically assumes you're promising it works the way it's supposed to, even if you never say that out loud.
Example
If you sell handmade candles and they fall apart or won't light, a customer could claim the candles weren't merchantable because candles are supposed to burn.
Watch Out
This legal promise, called the implied warranty of merchantability, kicks in automatically the moment you sell a product, so you need to understand that selling something broken or defective can expose you to legal liability even without a written guarantee.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.