CRA 2015

Question 1

What are the 3 classes of consumer contracts under CRA 2015;

Answer 1

· Contracts for goods

· Contracts for digital content

· Contracts for services

Question 2

3 rights implied in a consumer sale of goods:

Answer 2

(a) Goods = be of a satisfactory quality

(b) Goods = reasonably fit for any purpose which consumer makes known to trader that they intend to use them for

(c) Where goods are sold by description = goods should match that description

Question 3

The 3 implied terms are that the digital content…

Answer 3

(a) Should be of satisfactory quality

(b) Should be reasonably fit for purpose (s 35); and

(c) Should match any description of it given by trader to consumer

Question 4

quality of digital content is satisfactory if it…

Answer 4

meets the standard that a reasonable person would consider satisfactory

Question 5

the reasonable person would take account of …

Answer 5

matters of description, price + ‘all other relevant circumstances’

such circumstances = any public statement about the specific characteristics of the digital content made by the trader/ producer/ any representative of the trader or producer’

Question 6

In contracts for services - the consumer has a right to… (3 things)

Answer 6

(a) service performed w reasonable care + skill

(b) That (where price not been agreed) = a reasonable price to be paid

(c) That (where a time hasn’t been fixed) = service provided in a reasonable time

anything said/ written to consumer, by/ on behalf of trader, abt trader/ service is = included as a term where it’s taken into account by the consumer:
(a) when deciding to enter into the contract or
(b) when making any decision about the service after entering into the contract.

Question 7

Contracts for goods

What are the goods regarded as if they don’t comply with the requirements

Answer 7

= non-conforming

Question 8

Contracts for goods

What are the 3 remedial options available where goods are non-conforming:

Answer 8

(a) short term right to reject

(b) right to repair/ replacement

(c) right to price reduction/ final right to reject.

Question 9

Contracts for goods

How long is the short term right to reject for?

Answer 9

30 days running from time that:

(i) ownership has passed/ possession transf; and

(ii) goods = been delivered and

(iii) the trader has notified consumer that required steps have been taken (in cases where trader is req to install goods/ take other action to enable consumer to use the goods)

Question 10

Contracts for goods

The right to repair/ replacement = available unless…

Answer 10

repair/ replacement = either:
- impossible or
- disproportionate (= imposes unreasonable cost on trader compared to other remedies + interests of consumer)

Question 11

Contracts for goods

When will a consumer be entitled to both a price reduction and final rejection?

Answer 11

(a) after 1 repair/ replacement = goods don’t conform to the contract; or

(b) consumer can require neither repair nor replacement of goods (bc = impossible/ disproportionate); or

(c) consumer has required trader to repair/ replace goods, but trader in breach of requirement to do so w/in reasonable time + without significant inconvenience to consumer

Question 12

Contracts for goods

Rule where final right to reject exercised within 6 months (from time ownership passed) + exception to it.

Answer 12

= full refund w no deduction for use

exception = doesn’t apply to motor vehicles/ any other goods that may be specified by statutory order.

Question 13

Contracts for goods

Are implied terms here conditions or warranties?

Answer 13

Neither = Act sets out extent the breach gives rise to the contract ending.

Question 14

Contracts for digital content

What are the 2 remedial options available to the consumer where breach of implied terms:

Answer 14

1) right to repair/ replacement; +

2) right to price reduction.

Question 15

Contracts for digital content

How must trader repair/ replace the digital content?

Answer 15

within a reasonable time + without significant inconvenience to consumer

Question 16

Contracts for digital content

When will the consumer be precluded from requiring repair/ replacement?

Answer 16

where it would be:
- impossible/ disproportionate;

Question 17

Contracts for digital content

When is the right to a price reduction allowed?

Answer 17

• where consumer either cannot require repair/ replacement
• trader failed to repair/ replace digital content within a reasonable time + without significant inconvenience to consumer.

Question 18

Contracts for digital content

When must the refund be given for all the money paid?

Answer 18

within 14 days using same payment method used by consumer without imposing any fee re the refund

Question 19

Contracts for digital content

Is the consumer allowed to treat a contract as at an end as a result of a breach of these implied terms?

Answer 19

No

Question 20

Position where digital content causes damage to a device/ other digital content belonging to consumer + damage wouldn’t have occurred if trader exercised reasonable care + skill?

Answer 20

consumer entitled to repair/ compensatory payment.

Question 21

Contracts for services

2 remedial options available where services are non-conforming in breach of the terms implied:

Answer 21

(a) right to require repeat performance; +

(b) right to a price reduction.

Question 22

Contracts for services

How must the repeated performance be executed by trader?

Answer 22

• within a reasonable time + without significant inconvenience to consumer
• consumer cannot require repeat performance if completion in conformity w contract is impossible.

Question 23

Contracts for services

When does a price reduction become available?

Answer 23

• where repeat performance = impossible or
• where trader failed to provide repeat performance within a reasonable time + without significant inconvenience to the consumer.

Question 24

remedial option to services non-conforming in breach of term implied?

Answer 24

right to a price reduction.