DEALING WITH PRODUCT LIABILITY SEMINAR 9 Jeanette Ng [email protected] NO FORM OF ELECTRONIC RECORDING IS ALLOWED WITHOUT PRIOR PERMISSION
(a) Was there a breach of the tenancy agreement? (b) IF there was a breach, and there are no relevant express terms:was the mall closure for a few days, a fundamental breachof the tenancy agreementwhich will allow the tenants to immediately terminate the tenancy? (c) What damagescan they sue for? 2 RECAP of LAST WEEK – Remedies
Statutes • Sale of Goods Act – for businesses + consumers • Consumer Protection (Fair Trading) Act – Lemon Law for consumers • Unfair Contract Terms Act Contract • Express terms • Implied terms: Case law • Tort (Duty of Care – Negligence) 3 Seminar 5 - today’s Seminar 9 o Statutes eg. SGA, CPFTA o Courts o Customs Seminar 10 ** Additional Implied terms • Many others, depending on category of goods eg. food, vehicles, medical devices
(1) Product Liability • There is an important statute governing product liability: the Sale of Goods Act (SGA). • The SGA is important, as among other things, it implies various terms into a contract for the sale of goods : o see Seminar 5 – Terms of Contract (implied terms) • These implied terms offer protection to buyers. Does this include businesses? 4
Overview of S G A • Section 13 – Goods must correspond with description o Regardless of whether it was sold in the course of business o Buyer must have relied on the description 6 ** Additional Where does the description come from? Possible to also sue for Misrepresentation (does not match with stated description).
Overview of S G A • Section 14(2) – Goods must be satisfactory quality o Safety, appearance, durability etc o Seller must have been sold in the course of business o Exception : buyer examined the goods prior to purchase OR the defect was brought to buyer’s attention 7 S14(2A) TEST : whether a reasonable person would consider it satisfactory having regard to the price , description and all other relevant circumstances eg. appearance and finish, minor defects, durability issues, and safety issues. ** Additional $1.99 @ Daisho versus $199 @ Isetan Example #1 Example #2
Overview of S G A • Section 14(3) – Goods must be reasonably fit for purpose o Purpose expressly made known to seller o Implied purpose o Seller must have sold in the course of business o Exception : buyer did not rely on seller’s judgement OR it was unreasonable for buyer to rely on seller’s judgement 8 ** Additional
9 ** Additional Section 13 – Description? Section 14(3) - Fit for Purpose? Section 14(2) - Satisfactory Quality?
10 ** Additional (cont’d) His intended purpose of sound and vibration-free car was not expressly made known. Overall fit for purpose, as a luxury vehicle.
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- Spring '18