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1、Business contractual relationship:Assessment 1:Case one: “A contract in which the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration, called the price.”A contract of sale of goods therefore covers both a sale and an agreement to sell. Where the seller
2、 can transfer the goods immediately, and is willing and able to do so, then there is a sale. However, where there is some sort of condition that must be fulfilled or some act has to be carried out before the sale can take place, and then there is merely an agreement to sell.The legal effect of a sal
3、e is that the purchaser obtains a real right over the goods as property in the goods has passed to the purchaser. However, in an agreement to sell the purchaser only holds personal right against the seller in respect of the contract. Mary can use SOGA1979 Term to protect herself right and power. Imp
4、lied Terms of SOGA 1979 include that section12- SOGA 1979- Implied Terms of Title, section13-Sale by Description, section 14 -Satisfactory Quality and Reasonable Fitness for Purpose, and section15- Sale by Sample.Section 12 - SOGA 1979- Implied Terms of TitleAt the first, the seller must have title
5、to the goods; the right to sell the goods. The seller must either own the goods or should have the appropriate authority from the owner to sell the goods.No third party should have any claim on the goods which would prevent the buyer from obtaining a good title and quite possession of the goods. If
6、there is any charge or encumbrance over the goods by the third party, then all known charges or encumbrance would required to be disclosed prior to the sale.Section13-Sale by DescriptionOn the other hand, this section implies the term that the goods are to comply with their description. It is clear
7、that if the buyer dose not sees the goods prior to purchase and buy s those relying on a description, then this section would apply.However, SOGA 1979 also makes clears that a sale by description can also apply to goods exposed for sale and selected by the customer.Section 14 -Satisfactory Quality a
8、nd Reasonable Fitness for Purpose,Satisfactory QualityIn English law, there was previously an onus on the purchaser to ensure that goods were of a reasonable quality and suitable for any specific purpose required the caveat emptor rule.In Scottish law, there was a principle that a sale of goods was
9、a contract of good faith.Section 14 only applies where goods are sold in the course of a business so it only covers the situation where the seller is in business. It does not cover private sales although the status of the buyer is irrelevant. Section 14 applies to business buyers as well as to priva
10、te buyers.The quality of goods includes their state and conditions and this would therefore means that if goods are advertised as in a sale , or seconds etc, this could have some effect on quality to be expected. There are factors that are listed in section 14 of SOGA 1979 as potentially relevant in
11、 appropriate cases :( 1)Fitness for the purpose for which goods of the kinds in question are commonly supplied(2)Appearance and finish (3)Freedom form minor defect (4) Safety (5) Durability.Reasonable Fitness for PurposeUnder section 14 of SOGA 1979, there is an implied term that the goods are reaso
12、nable fit for the purpose, whether or not that is purpose for which such goods are commonly supplied.In the case, Marys tumble dryer has quality problems and line installation defects caused by fire. This does not conform to the provisions of product safety. Because this product defects cause seriou
13、s consequences. Of course, the hairdryer to use only two months on the problems that the hairdryer is not durability. Hence，Mary could use Section 14 -Satisfactory Quality and Reasonable Fitness for Purpose because that Marys situation conforms to the content that the law stipulate.Section15- Sale b
14、y SampleIn this section there are two implied terms:That the bulk will correspond with the sample in quality: and that the goods will be free from any defect, marking them unsatisfactory, which would not be apparent on reasonable examination of the sample.Case two: Charlie cant use the SOGA1979 bill
15、 rights, because Charlie did not directly buy tumble dryer.Charlie can use the Law of Delict to protect his own power，the Law of Delict, like the law of contract , is a part of the law of obligations. A delict has been defined as: “a civil wrong committed by a person in deliberate or negligent breac
16、h of a legal duty, from which liability to make reparation for any consequential loss or injury may arise”General principles of Delictual liabilityAs noted above there must be three elements present:A loss or injury, such as physical or personal injury, the loss of earnings, nervous shock, distress,
17、 damage to a reputation.Caused by a legal wrong (wrong conduct)Caused by culpa(fault, intentionally or negligently done) on the part of the wrongdoer. Charlie lung inhalation of smoke to his shock in this belongs to the serious loss. According to the case, Charlie is not negligence resulting in the
18、fire is mainly because short circuit caused the fire.Charlie can also use the Consumer Protection Act 1987to protect his rights and interests. It contains importance extension of the privity of contract rights for consumers if goods are unsafe, so that rights also exist directly against producers an
19、d those who hold themselves out as producers.The consumer protection act 1987 deal with three main aspects of consumer protection: product liability, customer safety and misleading pricing.Product liability Part one of the customer protection act 1987 transport the product liability directive into t
20、he UK law. part 1 of the establishes is a principle of strict liability relating to defective products which cause damages to other property and injure to people who were injured as a result of using the product or who came into close contract with the product.Strict liability means that the plainti
21、ff does not have to prove fault on the part of the defendant. The product liability section made producers liable for any damage done by defective products. The Act goes even further in ensuring that customers are protected from damage or injure caused by faulty goods.In the case, Charlies safety an
22、d healthy was threaten by the gas that he absorb in the fire. This event happened due to product defect. Therefore, this event belongs to the product liability act. Consumer safetyPart 2 of Consumer Protection Act 1987provides the safety provisions.It deal with consumer safety and allows the governm
23、ent to regulate the design, components and construction of goods which could, if defective cause injury. Charlie also fits the bill because it is due to product defects cause harm. whats more, the tumble dryer damage his health in this event and there is a bad effect on his life. Therefore, this eve
24、nt is suiting to Part 2 of Consumer Protection Act 1987provides the safety provisions.Misleading pricingPart 3 of the Act makes it illegal to mislead consumes about the price of any good, service or facility. The provisions of this part are quite comprehensive and cover such services as banking, gas
25、 and electricity supplies, telephone service, parking accommodation and all goodsCase 3:The bosss word is not obeyed no clause exempting.The first does not conform to the provisions; this statement is not a fair statement.The Unfair Contract Terms Act 1977 regulates contracts by restricting the oper
26、ation and legality of some contract terms. One of its most important functions is limiting the applicability of disclaimers of liability.Section17 UCTA1977covers attempts to exclude contractual liability in consumer and standard form contract.If a document is singed at the time of making the contrac
27、t, its contents become terms of that contract, regardless of whether they have been read or understood.If separate written terms are presented at the time a contract is made, for example by handing over ticket, those terms only become part of the contract if it can be said that the recipient had rea
28、sonable notice of them. However an exemption clause is only incorporated into the contract if notice is given before or at the time of contracting.Case 4：Debtor creditor supplier agreement. Where the creditor is also the supplier of the goods. In these agreement where goods or services cost more tha
29、n$100or less than $30000 the debtor can hold the creditor jointly and severally liable with supplier when he claims misrepresentation or breach of contract against the supplier known as connected leader liability.Examples where there would be a debtor-creditor-supplier agreement include purchases of
30、 goods from retailers where there is a pre-existing financing arrangement; hire-purchase arrangements where the finance is provided by a finance company; and credit card transactions.Under section 75 of the CCA 1974 both the creditor and the supplier are jointly and severally liable in respect of an
31、y breach of contract. The consumer would therefore choose to claim against either the creditor or the supplier. The creditor and supplier may be the same person, and has links to a creditor or vendor who will provide loans to the vendors customers, this is a very common type of agreement generally s
32、uppliers belong to the intermediary in the debtor-creditor-supplier agreement, however section75 of the Act allows debit charges lenders and suppliers, If a breach of contract, plus 85 pages under section 75 Credit belongs to consumer creditor with supplier belongs to the same party this clause can Act 1974 Dave supplier creditor claims.
