Difference between revisions of "Contracts for Sale of Goods (11:III)"

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Under s 18(b), if: (1) goods are bought by description, and (2) from a seller who deals in goods of that description, the seller is bound by an implied condition that the goods are of merchantable quality, except to the extent that the buyer has examined them.  
Under s 18(b), if: (1) goods are bought by description, and (2) from a seller who deals in goods of that description, the seller is bound by an implied condition that the goods are of merchantable quality, except to the extent that the buyer has examined them.  


===== (1)The Concept of Merchantable Quality The  concept  of  merchantable  quality  is  difficult  to  define.  A  commonly used  test,  the price  abatement  test,  asks  whether  a  reasonable  buyer, informed of the actual quality of the goods, would buy the goods without a substantial abatement of price (B.S. Brown & Son v Craiks Ltd., [1970] 1 All  ER  823  (HL)).  If  the  informed  reasonable  buyer  would  not  buy without  a  substantial  abatement  of  price,  unmerchantable  quality  is inferred, and repudiation may be available.
===== (1) The Concept of Merchantable Quality =====


Under s 18(a), if:
The concept of merchantable quality is difficult to define. A commonly used test, the '''price abatement''' test, asks whether a reasonable buyer, informed of the actual quality of the goods, would buy the goods without a substantial abatement of price (''B.S. Brown & Son v Craiks Ltd.'', [1970] 1 All ER 823 (HL)). If the informed reasonable buyer would not buy without a substantial abatement of price, unmerchantable  quality is inferred, and repudiation may be available.