Termination Flashcards
What are sections 12 - 14 of sale of goods act 1979?
12 - Implied terms that seller has right to sell goods
13 - Goods correspond with description
14 (2) - seller sells goods in course of business it is implied they are of satisfactory quality
14 (2A) - goods satisfactory if reasonable person would find them so.
14 (3) - If buyer states use, seller selling goods must be adequate for that use.
What is the main difference between the Sale of goods act and supply of goods and services act?
Sale of goods focuses more on tangible goods and supply of goods act and supply of goods and services act addresses both goods and services.
What options do consumers have when breach of implied term of satisfactory quality under consumer rights act 2015?
- Short term right to reject and
- right to repair or replacement
- right to price reduction or reject and get partial refund to reflect use.
When does the right to terminate arise in a contract ?
In breach of condition or innominate term.
What are the four stages of termination?
- Express right to terminate
- Right to terminate on true construction
- Statute or judicial decision
- Breach which goes to root of contract.
What is frustration?
Law excuses party for non-performance if party is no longer able to perform due to unforeseen events.
What must the supervening event satisfy in order to constitute frustration?
- Make performance of the contract impossible or radically different
- Must be something unexpected
Something beyond the control of the party.
What does the law reform act 1943 dictate regarding money payed resulting from frustrations
- Money paid beyond event can be recovered
- Money that should be paid before need not be paid.
- At courts discretion expenses incurred by the payee can be recovered out of total sums paid.
What is the doctrine of complete performance?
If the performance of contractual obligations are not precise and exact party does not have to pay any price.
what are the exceptions to the doctrine of complete performance?
- Divisible obligations
- Substantial performance
- Wrongful prevention
- Voluntary acceptance of part performance.
What are divisible obligations ?
If there are agreed payment sums for different stages of contract
What is substantial performance?
Completed but defect - entitled to price minus cost to repair.
What is wrongful prevention?
If stopped from completing - entitled for work done so far.
What is voluntary acceptance of part performance?
If contractor has partially done his performance and other party accepts this performance - then entitled to reasonable sum for work already done.
