Implied Terms Flashcards
Express terms def
can either be written into the contract, or stated verbally when the contract is made, concern matters such as price, what is expected for that and how the c is to be performed
Implied terms def
not specifically agreed, but can be implied into a contract by common law or by statute
Statute law governed by
Consumer Rights Act 2015 goods/services set out for consumer contracts
-CRA ‘15
Section 9 of CRA ‘15
goods are of satisfactory quality: appearance, safety, fitness (usual purpose). x apply when defect brought to attention
Section 10 of CRA ‘15
goods fit for particular purpose & made known by consumer->trader
Section 11 of CRA ‘15
goods supplied match description provided by t e.g display
Section 13 of CRA ‘15
goods must match a sample provided and any difference must be pointed out
Section 49 of CRA’15
t must perform any SERVICE with r skill, care and time
Section 50 of CRA ‘15
anything written/said to c by t is binding
Remedies
- goods: right to rejection, repair or replacement & price reduction
service: right to repeat perform & price reduction
Marks and Spencer v BNP
under common law, 4 ways terms can be implied in c, in order to better understand deal the p’s made
The Moorcock, Schawel v Reade
1) business efficacy test: court will imp term into c if necessary to make c effective on a business-like basis
Shell v Lostock Garages
2) officious bystander test: court will imp term into c on basis that if both p’s were asked by O(interf)B, they would have agreed that such term was needed
Hutton v Warren
3) if such term was a matter of custom/common business practices in that industry
Hillas v Acros
4) if such term was used in a previous dealings between the p’s
