Implied terms Flashcards
what are the two law controls used for implied terms
statute & common law
what does the statute law define
the implied terms for goods and services are set out in the Consumer Rights Act 2005
- Section 9- goods must be of satisfactory quality this includes in terms of appearance,safety and fitness.This does not apply where a defect has already been drawn to the attention if the consumer.
-section 10- must be fit for purpose made known by the trader to consumer, this can be either express or implied.
- section 11 - the goods must match the description given by the seller to consumer, this can be implied such as goods on display.
what are the remedies for goods under CRA 2005
S20&22- right to a full rejection (refund) within 30 days of delivery
S21- partial rejection
S23- right to repair or replacement
S24- right to a price reduction or final right to reject IF they don’t want to exercise S23
what are the remedies for services
S55- right to repeat performance which must be within a reasonable time and without causing inconvenience to the customer
Can also exercise right to a price reduction if performance is impossible or has been requested and cannot be completed in time.
how can terms be implied under common law
either through the business efficacy test & the officious bystander test
OR
through course of dealings
what are the rules for the business efficacy test
BE- court will imply the term into the contract IF
firstly- if the implied term necessary for the contract to be effective
secondly- if the parties to the contract would have thought about it they would have expected the term to be in the contract
(Moorcock v Marks and Spencers v BNP)
rules of officious bystander test
if an officious bystander asked the parties about the term they would agree it was needed
(Shell v Lostock Garages)
course of dealings
if the term or clause has had regular and consistent use, this can even be after acceptance
(Hillas v Arcos)
(Mccutcheon v Mccbrayne)