BLAW10001 Chapter Notes - Chapter 6: Consumer Protection, Australian Consumer Law
Principles of Business Law
• Tutorial 6
• Week 6
• Statutory provisions affecting contracts for goods and services
• The importance of sale contracts
• Soeties desied as the aste otat of oee
• Rules of sales were developed on the assumption that the parties were dealing as
equals and were capable of looking after their own best interests
• Terms that are put into sale contracts merely fill gaps
• Interests of consumers are not well protected by the sale of goods legislation
• The need for generic terms in contracts for the sale of goods and services
•
• Terms regarding the identity of goods sold
• A seller is bound to deliver the particular bags of rice referred to at the time of the
sale, or whether exactly equivalent goods will do
•
• Terms regarding the delivery of goods
• If no specific time is agreed to in the contract, then the delivery must take place
within a reasonable time
o Something judged in the circumstances of each case
• Terms regarding the payment of goods
• In the absence of an agreed time for payment, payment is due at the same time as
delivery
•
• Terms regarding the legal title of goods sold
• Sellers are not required by law to be the owner of anything that they agree to sell
o A uyes possession of the goods is not disturbed by a third party
o Warranty of the contract that goofs bought and sold are not burdened by ant
undisclosed charge or encumbrance in favour of a third party
• Terms regarding the inspection of goods sold
• The law gives a buyer a right to inspect the goods when they are delivered by the
seller, but a buyer is not obliged to do so
• If a buyer chooses not to inspect the goods, and the goods suffer from some fault or
defect that could have been discovered by examining them, the buyer will be taken
to have accepted the goods and will lose any right to reject them because of the
faults
• Terms regarding the quality of goods sold
• When goods are bought and sold, the parties must at least agree on what particular
goods, or what type of goods, must be supplied
• The quality of goods sold in the course of business
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