Sunday, July 17, 2011

Terms implied into a contract for the sale of goods 2

  • Implied warranty as to quiet possession ( section 14 (b)) 
  • The buyer shall have and ejoy quiet possession of the goods . This warranty also covers against unlawful seizure of goods sold which have not been paid in full . 
  • Implied warranty that the goods are free from any charge or encumbrance in favour of any third party not declared to the buyer ( section 14 (c) ) 
  • Implied condition that goods correspond with description ( section 15 )
  • Example : Ali ordered certain goods to be delivered to him . When the goods were shipped to Ali , he found that the quality of goods was inferior to those Ali had seen as samples of goods on display at a fair where he made the order . Ali was entitled to reject the goods and refuse to pay the seller . 
  • Implied condition as to fitness for particular purpose ( section 16 (1a)) . 
Example : bakri tells Samy , the shopkeeper dealing with fertilizer , that he wants to buy fertilizer for his mango trees . Samy would have breached an implied condition that the fertilizer would be fit for mango trees if Bakri were sold some flower fertilizers instead . However , if Bakri tells Samy that he wants to buy Treble Superphosphate ( 0-45-0 ) fetilizer , then there would be no implied condition as to its fitness for any particular purpose .

  • Implied condition as to merchantable quality ( section 16 -1b ) 
Goods sold are fit for the particular use and not defective for the purpose . For example , a pair of shoes whose heels came off on the third occasion was held unmerchantable in Davis Jones v.Willis ( 1934 ) 52 CLR 110 . 

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