A contractor purchased a furnace from a distributor of heating systems, after the distributor recommended the furnace based on the contractor's stated needs. The bill of sale between the distributor and the contractor stated, "All warranties, express or implied, are hereby disclaimed." The contractor installed the furnace in an office building. Due to a manufacturing defect, the furnace failed to heat the building as it should have. The contractor was sued by the owner of the office building.

Can the contractor assert a claim against the distributor for breach of the implied warranty of merchantability?
No, because there is no implied warranty of merchantability for sales between merchants.

No, because the distributor disclaimed this warranty.

Yes, because furnace failed to heat the building.

Yes, because the contractor relied on the distributor's judgment.