Retailers, beware of implied conditions!

Retailers, beware of implied conditions!


When a retailer purchases from a wholesaler or a manufacturer the retailer must ensure that they know the limitations of the goods purchased.  If the goods are faulty then the retailer may be liable to any subsequent buyer.

Whenever a retailer sells goods to a consumer there is a sale agreement and conditions are implied into that agreement.  Consumers may make use of these conditions to successfully claim against a retailer.

The stakes can be high!  If a product is not fit for a purpose it may cause damage and necessitate rectification works the cost of which may go well beyond the cost of the goods supplied.  A glue that doesn’t stick may cost the user more than a tube a glue.

What kinds of conditions may be implied into a contract between a retailer and a consumer?

In some instances a supplier may wish to undertake their own testing in order to ensure that they are not exposed to risk.

Fit for purpose

If a retailer is told, or it is implied that goods to be purchased by a consumer will be used for a particular purpose there is a condition implied into the contract that the goods will be suitable for that purpose.  This is so, even if the purpose is not a purpose for which the goods would normally be used. See section 55 of the Competition and Consumer Act 2010, Schedule 2.

The most obvious way to rebut this implied condition is to show that the consumer did not rely upon, or it was not reasonable for the consumer to rely upon the skill and judgement of the supplier.  The consumer may for instance have been obtaining expert advice from some third party who was better placed than the retailer to determine if the goods are suitable for the purpose.

 Quality

There is an implied condition in section 54 of the Competition and Consumer Act 2010, Schedule 2 that good are of acceptable quality.  In making this determination the following matters are considered:

(a)  the nature of the goods; and

(b)  the price of the goods (if relevant); and

(c)  any statements made about the goods on any packaging or label on the goods; and

(d)  any representation made about the goods by the supplier or manufacturer of the goods; and

(e)  any other relevant circumstances relating to the supply of the goods.

Obviously defects which are known or ought to be known by the consumer are not caught by this implied condition.

This implied condition places the onus on the retailer to know the quality of goods sold.

RIBA Business Lawyers

Strength Through Knowledge

Franchising, Leasing, Acquisitions

Head office:  34 Duporth Avenue, Maroochydore, Sunshine Coast, Queensland.

Maroochydore:  07  54791488

Brisbane:  31032115

18 Comments
  • wholesale animal onesies
    Posted at 17:05h, 10 September

    wholesale animal onesies

    At this moment I am going to do my breakfast, when having my breakfast coming again to read additional news.

  • 2015kobeshoes
    Posted at 23:41h, 11 September

    2015kobeshoes

    cglcoverage, mpcanine,

  • unicorn onesie miley cyrus
    Posted at 20:11h, 13 September

    unicorn onesie miley cyrus

    Hello I am so delighted I found your site, I really found you by error, while I was researching on Askjeeve for something else, Nonetheless I am here now and would just like to say thanks a lot for a incredible post and a all round interesting blog (I…

  • converse chuck taylor all star ox optical white size 13 us mens
    Posted at 01:38h, 11 October

    converse chuck taylor all star ox optical white size 13 us mens

    nike air max tailwind 6 womens atomic orange black gamma blue volttop deals new air jordan 12 gs bred ognike air max 90 essential blue void mens shoeofficial nike crusader apple green metallic silver yellow streak 630909 301 cool basketball shoes

  • real original nike air foamposite pro asteroid fire black 616750 600
    Posted at 02:39h, 30 October

    real original nike air foamposite pro asteroid fire black 616750 600

    cheap nike air max 90 floral runningshoesair jordan 6 white camo customadidas yeezy boost 750 light grey glow in the darknike metcon 2 womens orange black

  • puma trinomic r698 men s 90s pack
    Posted at 22:51h, 06 November

    puma trinomic r698 men s 90s pack

    asics gel lyte iii blueberry kith exclusivepuma mens bog x swash bones glacier gray whiteundercover nike jungle dunk info 2authentic best jordan iron standard hip hop hat fashion cap cheap online id942

  • air jordan retro 3 25th anniversary white metallic silver 398613 102 on sale
    Posted at 20:25h, 17 November

    air jordan retro 3 25th anniversary white metallic silver 398613 102 on sale

    nike roshe one flyknit game royalnike mens shox oleven plating shoes white bluenew adidas originals adidas originals eqt cushion adv trainers in black ah2231 for salenike manoa acg

  • 819476 005 nike air max 1 ultra essential pure platinumbla
    Posted at 09:33h, 22 December

    819476 005 nike air max 1 ultra essential pure platinumbla

    2018 authentic nike air channels more uptempo be pippen big air jordan 3 red black 138 600caliroots com bw cvs mid runwht adidasnike mens mercurial vapor xi fg black white electric green soccer shoesnike mens react hyperdunk 2017 low synthetic basketba…

  • nike air max 270 hazel light bone ao1023 002 02
    Posted at 08:47h, 29 December

    nike air max 270 hazel light bone ao1023 002 02

    nike air max 2016 leather mens shoes black blue redadidas nmd xr1 blue stitchnike ws air max 1 ultra lotc qs new yorkwomens nike air max 2009 white cyan nike air max 360 nike huarache cheap

  • chaussures nike foamposite galaxy
    Posted at 09:45h, 30 December

    chaussures nike foamposite galaxy

    nike womens 2014 air max shoes nike with spartoonike air max 95 ultra jacquard kakiadidas air max bambinoair max 90 blanche et bleu

  • eqt support rf ayakkabi adidas
    Posted at 05:18h, 01 January

    eqt support rf ayakkabi adidas

    mens nike air max 1 se shoes university red royal blue ao1021-600air jordan retro xllmens nike air max 97 black wheatnike air max 95 black hyper cobalt 1

  • i migliori air jordan 11 retro gs bred nero bianco varsity donna rosso
    Posted at 09:53h, 08 January

    i migliori air jordan 11 retro gs bred nero bianco varsity donna rosso

    nike air force 1 ultraforce m 869945002 couleur gris pointureair force 1 red and white mid mens womens nike af1 315123 12adidas campus chaussures baskets chaussures daim bleu cq2045 noble encrezapatilla nike air max 90 ltr ni帽o

  • adidas nmd r2 w ash pink cq2007
    Posted at 19:13h, 13 January

    adidas nmd r2 w ash pink cq2007

    air jordan 1 i mens shoes black rednike air force 1 duckboot lowpurchase like nike free 30 v2 snowy white baby pink womensair jordan 1 leopard olympic pack lime green black

  • nike free run 3 m臋skie buty sportowe rozm 47 5
    Posted at 05:22h, 17 January

    nike free run 3 m臋skie buty sportowe rozm 47 5

    nike winterschuhe herren beige2017 engros billig nike air max 90 leather white white sko herre damescarpa nike air huarache donna nike grigio classiconegrasazulgris zapatos de estilo nike huarache run gs para mujer lz01ccv

  • nike air jordan 13 low og schoenen
    Posted at 12:02h, 25 March

    nike air jordan 13 low og schoenen

    force femmeshombre nike air presto gpx quot caqui quot negras marr贸n claro 819521adidas alphaedge 4d asw schuhe damennew balance 990v4 mid black mens schoenen

  • scarpe nike kobe 12 uomini
    Posted at 12:36h, 30 March

    scarpe nike kobe 12 uomini

    goedkope nike air max 90 87 thea print dames hardloopschoenen mesh breathable watermelon rood carvingnike zoom fly sp fast obsidian grey at5242 440 03 schuhe damennike air max 95 ultra jcrd wolf grey herenair jordan 1 sports illustrated dam

  • nike zoom speed trainer 2 donna
    Posted at 16:59h, 04 April

    nike zoom speed trainer 2 donna

    herren nike air huarache run wei脽 reines platinscarpe nike air max 97 donna bianchechaussures nike air jordan 1 mid white infrared 23nike air diamond truf black black white homme

  • nike air vapormax hyper punch
    Posted at 03:51h, 11 April

    nike air vapormax hyper punch

    nike air max 97 gs 2824 921523 400 blu scarpe sportive unisex pelleadidas superstar 2 aut茅nticas o imitaci贸n youtubenike free run 6 0 spiderman 2013 noir vert homme nike free basket nike femmenike court royale white boys shoes

Post A Comment