How does the specification of the design by the government affect the warranty obligations?

The correct choice highlights that when the government specifies the design of a project, the contractor’s warranty obligations are generally limited to defects in materials and workmanship. This means that if the design is provided by the government, the contractor is not held responsible for flaws that arise strictly from the design itself. Instead, the contractor must ensure that the materials used meet the required specifications and that the workmanship is executed to the standards outlined in the contract.

This limitation is crucial because it clarifies the scope of the contractor's responsibility. If the government has dictated how something should be built or designed, and the contractor follows those specifications diligently, any issues arising from the design as laid out by the government fall outside the contractor's warranty obligations. This protects contractors from being penalized for design flaws over which they had no control.

In contrast, other options suggest scenarios that either inappropriately absolve the contractor from all liability or extend their responsibilities beyond reasonable expectations. Understanding the nuances of warranty obligations in the context of specified designs is essential for effective contract management and risk allocation in construction and engineering projects.