Implied Rights Under Consumer Act 2015

Question 1

What is implied rights under consumer act 2015

Answer 1

Covers rights and remedies not available for consumers making a contract with a business trader
Terms are not implied, instead rights are given to consumer and trader has a duty

Question 2

What is the definition of consumer s2(3)

Answer 2

An individual acting for purposes that are wholly or mainly outside that individual’s trade, business, craft or profession.

Question 3

What is a trader s2(2)

Answer 3

A person acting for purposes relating to that persons trade business craft or profession whether acting personally or through another person acting in the traders name or on the traders behalf.

Question 4

What does the type of contracts (s3(2))

Answer 4

• sale
• hire purchase
• contracts for transfer of goods
  Act reforms and consolidates law relating to unfair terms in consumer contracts and set’s out specific remedies available to consumers in contracts.
  This includes digital content

Question 5

Whole does this act apply to?

Answer 5

Act applies to contracts and notices between consumers and traders.
The definition is a wide one, covers those who enter contracts for both businesses and personal reasons
Traders will be liable when dealing through a 3rd party e.g and agent

1st implied term will be related to pre contract information, if this information isn’t accurate the trader is liable, includes:
- total price of goods
- telephone and email addresses
- address complaints should be sent to
- Arrangements for payment, delivery or telephone
- additional delivery charges
- identity and geographical address of any 3rd party trader

Question 6

What is section 9 - The right of ‘satisfactory quality’

Answer 6

Under s.9(1) every contract to supply goods is to be treated as if it includes a term that the quality of good is satisfactory
S.9(2) satisfactory is defined as when goods meet the standard that the reasonable person would consider satisfactory:

• descriptions of goods
• price considerations
• other relevant circumstances

S.9(3) includes the state and condition
- Fitness for all purposes
- appearance
- freedom from minor defects
- safety if goods
- durability of goods

Question 7

What will act of S.9(4) not apply if?

Answer 7

Defects are drawn to attention of the consumer before contract is made
Consumer examines goods before contract is made
Goods have been sold after inspection of a sample and the defect would have been apparent on a reasonable examination of a sample.
Rogers v parish

Question 8

What was held in rogers v parish ( car defects)

Answer 8

The car wasn’t fit for purpose, so claimant was able to reject car and claim damages

Question 9

What is s10 - right of ‘ fitness for a particular purpose’

Answer 9

Contracts supply goods for a particular purpose, when consumer lets trader know particular
Purpose
Implied terms applies that the goods will be fit for purpose they’re usually supplied for
Seller don’t need to state purpose of the goods are being used for their normal use.

Question 10

What was held in grant v Australian knitting mills

Answer 10

Claimant entitled to compensation for negligence, possibility of tampering in product hasn’t enough for D not to be liable.

Question 11

What was held in Griffith v Peter conway

Answer 11

D not liable if goods are fit for purpose they’re used for
If purchaser has a specialist need they need to make trader aware of this before contracts made.

Question 12

What is s11 the right ‘relating to to description’

Answer 12

Act states that every contract is to treated as including a term that goods will match the description
This again is similar to sale of goods act 1979, description can be implied - goods must match description
Consumers statutory rights also must be stated, inc,using consumer contracts regulations 2013
When a model of a particular good is seen or examined by consumer, good supplied match description of models.

Question 13

What are remedies of supply of goods?

Answer 13

Consumer has rights if goods aren’t described, these are in addition to usual contract remedies

Question 14

Remedy - what is short term right to reject (s.20)

Answer 14

• Must be exercised within 30 days
• if goods are perishable then time will be shorter
• consumer must make consumer sure they inform the trader.
• consumer can then claim a full refund
• same method of payment without a fee
• Trader must bear any reasonable costs of returning the goods or than costs incurred by the consumer to get the place to do the return

Question 15

Remedy - what is the right to repair or replacement (s.23)?

Answer 15

Trader must do this within a reasonable time, without a significant inconvenience to the consumers
Reasonable time takes into account nature of goods and the purpose within which goods were acquired
- trader must bear costs including labour, materials and postage
- cannot be exercised if it would be impossible to repair or replace goods or if this would be disproportionate compared to other remedies
Fault must have been present from time of the good was originally delivered

Question 16

Remedy - what was the right to a price reduction or the final right to reject (s.24)

Answer 16

Trader has 1 opportunity to repair replace, then this right is available to consumer
If this right is exercised within 6 months the refund can be reduced dependent on use, unless it’s to do with the trade of motor vehicles.

Question 17

Implied rights - supply of services
What is section of 49 - reasonable care and skill?

Answer 17

Contracts for supply of services are treated to contain a term with regards to traders preforming task with reasonable care and skill
Here the standard of care is comparable to tort of negligence, courts will make a decision on a case by case basis

Question 18

What was held in Thake v Maurice?

Answer 18

Surgeon carried out operation with reasonable care so claim failed

Question 19

What does section 52 applies when?

Answer 19

• if no time is specified and the work hasn’t been completed
• the work has taken longer than expected
  JUDGE WILL DECIDE WHAT IS REASONABLE BASED ON CIRCUMSTANCES

Question 20

What is remedies - failure to provide the rights with respect to supply services

Answer 20

If the service doesn’t match the contract, consumer has following right

Question 21

What is right to repeat performance (s.55)

Answer 21

• where trader is required to preform the service again to meet the standards of contract
• must be done in a reasonable time and without significant inconvenience to consumer, assuming performance is not impossible
• trader must bear all necessary costs

Question 22

What is right to a price reduction (s.56)

Answer 22

• the price is to be reduced to an appropriate amount as the trader hasn’t met standard of contract
• could be refund of the full contract price.