Terms Implied By Statute Flashcards
5.9 Right to satisfactory quality
• Under S.9(1), every contract to supply goods is to be treated as if it includes a term that the quality of the goods is satisfactory. Satisfactory is defined as when the goods meet the standard that the reasonable person would consider satisfactory.
S.9(3) Satisfactory quality includes the state and condition. Rogers v Parish Under S9(4), the above will not apply if:
• Defects are drawn to the attention before the contract is made.
• The consumer examines the goods before the contract is made.
• The goods have been sold after inspection of a sample
S.10 Right to Fitness for a Particular Purpose
Where the buyer makes known the purpose for the goods, there is an implied term that the goods will be fit for that purpose, under s10.
Seller does not need to state the purpose of the goods when they are being used for their normal use - Grant v Australian Knitting Mills
If the purchaser is sensitive and the seller is unaware, D will not be liable as long as the goods are fit for the normal purpose - Griffiths v Peter Conway
S.11 - The right ‘relating to description’
Where goods are sold based on a description, there is an implied term that the goods will be fit for that purpose.
When a ‘model’ of a particular good is seen or examined by the consumer, the good supplied must match the description of the models.
Remedies - Supply of goods
The short-term right to reject (s.20)
This must be exercised within 30 days. The consumer can then claim a full refund - this should within 14 days, by the same method of payment without a fee. The trader must bear any reasonable costs of returning the goods.
Remedies - Supply of goods
The right to repair or replacement (s.23)
The trader must do this within a reasonable time and cover the costs. This cannot be exercised if it would be impossible to repair or replace the goods and the fault must have been present from the time the good was originally delivered.
Remedies - Supply of goods
The right to a price reduction or the final right to reject (s.24)
The trader has one opportunity to repair or replace, then this right is available to the consumer.
Contracts for Services
Section 49
the service must be performed with reasonable care and skill. This is the same standard as negligence, that of a reasonably competent professional - Thake v Maurice
Contracts for Services
Section 52
the service must be performed within a reasonable time.
Remedies - failure to provide the rights with respect to supply of services. S.55
Right to repeat performance (s.55) - Trader must perform service again, at their cost
Remedies - failure to provide the rights with respect to supply of services. S.56
Right to a price reduction (s.56) - by a reasonable amount and this can be for up to the full contract price
