Sales of Goods Act

Question 1

What is Sale of Goods Act (SOGA)?

Answer 1

The Sale of Goods Act (SOGA) implies certain terms into every contract for sales of goods such as:

(a) Title
(b) Description
(c) Quality
(d) Fitness for particular purpose

Question 2

Describe SOGA for Title.

Answer 2

Section 12 of the Act states that there is an implied condition in every sale of goods contract that the seller has the right to sell goods. There is also an implied warranty that the buyer will enjoy quiet possession of the goods.

Question 3

Describe SOGA for Description.

Answer 3

Section 13 of the Act states that where there is a sale by description, there is an implied condition that the goods will match the description.

Question 4

Describe SOGA for Quality.

Answer 4

Section 14(2) of the Act states that where a seller sells goods in the course of business, there is an implied condition that the goods supplied are of satisfactory quality. This means the goods must meet the standard that a reasonable person would regard satisfactory, taking into account the way they are described, the price and other relevant factors.

The following are the circumstances in which the rule does not apply:
(i) When a defect has been bought to the attention of the buyer; or

(ii) If the buyer had already examined the goods prior to entering into the contract.

The rationale is that the buyer had already been given the opportunity to examine and the reject the goods prior to entering the contract.

Question 5

Describe SOGA for Fitness for particular purpose.

Answer 5

Section 14(3) of the Act states that where the seller sells goods in the course of business and the buyer makes known to the seller any particular purpose for which the goods have been bought , there is an implied condition that the goods will be reasonably fit for the particular purpose.

The exceptions are when the buyer does not rely on the seller or it is not reasonable for him to rely on the skill and judgement of the seller.