Unit 5

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Contract Law (Manual 1) Flashcards on Unit 5, created by Marie Morton on 21/09/2013.
Marie Morton
Flashcards by Marie Morton, updated more than 1 year ago
Marie Morton
Created by Marie Morton over 10 years ago
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Question Answer
Terms may be implied by local custom or trade usage Hutton v Warren (1836)
Terms may be implied by a previous course of dealings between the parties Spurling v Bradshaw [1956]
Terms may be implied to reflect the presumed intention of the parties Att Gen for Belize v Belize Telecom Ltd (Privy Council)
Sales of Goods by description (implied whether the seller is a business or a private individual) S.13 Sale of Goods Act 1979
C.A. decided that a painting had not been sold by reference to its description as the parties could not reasonably have contemplated that the buyer would rely on the seller's description (the seller made it absolutely clear that he was not an expert) Harlington & Leinster Enterprises Ltd v Christopher Hull Fine Art Ltd [1990]
S14(2) Sale of Goods Act 1979 Satisfactory Quality (only applies if selling in the course of a business) Strict Liability
S.14(3) Sale of Goods Act 1979 Reasonably fit for purpose (only applies when sold in the course of a business) Strict Liability!
S.15(A) Sales of Goods Act 1979 Prevents the buyer who is not a consumer rejecting the goods for breach of S.13 & 14 of the 1979 Act, where the breach is so slight it would be unreasonable for the buyer to reject them.
If one of the terms implied by S.13 or S.14 of the Sales of Goods Act 1979 is broken then normally the buyer can terminate the contract and: Reject the goods (must give back goods to seller) Recover money paid. Sue for damages if there is any further loss. Alternatively the buyer may affirm the contract, keep the goods & just sue for damages for any loss suffered.
S.3 Supply of Goods and Services Act 1982 Implies a term that the goods will correspond with the description CONDITION
S.4(2) Supply of Goods and Services Act 1982 Implies a term that the goods will be of a satisfactory quality (only applies where the goods are supplied in the the course of a business) CONDITION
S.4(5) Supply of Goods and Services Act 1982 Reasonably fit for any particular purpose that the transferee makes known (only applies where goods are supplied in the course of a business) CONDITION
S.3 & S.4 of the Supply of Goods & Services Act 1982 are described as CONDITIONS therefore if one of the terms implied are broken the buyer can terminate the contract and... Reject the goods (must give back goods to seller) Recover money paid. Sue for damages if there is any further loss. Alternatively the buyer may affirm the contract, keep the goods & just sue for damages for any loss suffered.
S.13 Supply of Goods & Services Act 1982 Innonimate Term Reasonable Care and Skill
S.14 Supply of Goods & Services Act 1982 Reasonable time
S.15 Supply of Goods & Services Act 1982 Implied term that a 'Reasonable Charge' will be paid if this has not already been agreed between the parties.
S.5(A) Supply of Goods and Services Act 1982 Prevents a buyer who is not a consumer rejecting the goods for breach of S.3 & S.4 of the 1982 Act where the breach is so slight it would be unreasonable for the buyer to reject them.
S.13 - 15 of the Supply of Goods and Services Act 1982 are classed as? INNOMINATE TERMS
CONDITION Unless: S.15A -1979 Act S.5(A)-1982 Act BOTH PARTIES KNOW FROM THE OUTSET THAT IF THE TERM IS BROKEN AND THE CONTRACT HAS NOT BEEN FULLY PERFORMED THE INNOCENT PARTY MAY TERMINATE EVEN IF ONLY A MINOR LOSS IS SUFFERED
WARRANTY A BREACH WILL ENTITLE THE INNOCENT PARTY TO DAMAGES HOWEVER THE CONTACT CANNOT BE TERMINATE
INNONIMATE TERMS HONG KONG FIR SHIPPING CO - It is necessary to wait until the breach of contract has occurred to decide the remedies of the innocent party. If the breach deprives him of substantially the whole benefit of the contract he can terminate but not otherwise.
S.8 Sales of Goods Act 1979 Reasonable price.
S.13 Sale of Goods Act 1979 S.13(1) Where there is a contract for the sale of goods by description, there is an implied that the goods will correspond with the description. (Implied whether the seller is a business or a private individual)
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