Competition Law And Consumer Protection
Consumers are now defined as people who buy for purposes unrelated to their trade, business or profession. As per the statute, consumers have to be sold goods of satisfactory quality, after taking into account description, price and other relevant circumstances. If an item is defective at the time of sale, which is referred to as a latent or inherent fault, then the consumer lodge a complaint on the discovery of such a defect. Consumers will not be entitled to a legal remedy in respect of:
The condition as set out in The Sale of Goods Act 1979, in respect of merchantable quality of the goods, specifies that the implied terms, "where the seller sells goods in the course of a business, there is an implied term that the goods supplied under the contract are of merchantable quality except that there is no such condition."
In Thornett &. Fehr v Beer &. Son, the buyer bought some barrels of vegetable glue from the seller without properly inspecting the contents, though every opportunity for doing so was offered by the seller. The court decided that if there has been some examination then the buyer cannot complain about defects which a full examination would have revealed4.
The Sale of Goods Act 1979 defines implied terms with regard to reasonable fitness of purpose as the sale of goods by a seller in the course of a business and the buyer, expressly or by implication, makes it known to the seller or where the purchase price or part of it is payable by installments and the goods were previously sold by a credit broker to the seller to that credit broker5.
In Griffiths v Peter Conway ltd, it was held by the court that special purpose must be communicated expressly or by implication6. This was also reiterated in Slater v Finning7. If there is only one purpose for which something is bought then the fitness of its purpose is implied.