Difference between revisions of "Sale of Goods Law"

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=== The goods are reasonably fit for the purpose===

Under section 18(a) of the Sale of Goods Act, an implied condition of the contract is that the goods sold are reasonably fit for their intended purpose. This condition applies if the following three circumstances are all present:

Under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec18_smooth section 18(a)] of the ''Sale of Goods Act'', an implied condition of the contract is that the goods sold are '''reasonably fit for their intended purpose'''. This condition applies if the following three circumstances are all present:

• The consumer tells the business the intended purpose for the goods. 

* The consumer tells the business the intended purpose for the goods. 

• The consumer shows that they are relying on the seller’s skill or judgment. 

* The consumer shows that they are relying on the seller’s skill or judgment. 

• The seller sells the goods in the usual course of the seller’s business. 

* The seller sells the goods in the usual course of the seller’s business. 

There is considerable case law on the interpretation of when the three circumstances are present and what the standard is for reasonable fitness. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under section 20(2)). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void and the business may well ask the consumer to sign a waiver. This protection does not apply to consumer-consumer sales.

There is considerable case law on the interpretation of when the three circumstances are present and what the standard is for reasonable fitness. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec20_smooth section 20(2)]). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void and the business may well ask the consumer to sign a waiver. This protection does not apply to consumer-consumer sales.

=== The goods are of merchantable quality===

Under section 18(b) of the Sale of Goods Act, an implied condition of the contract is that the goods sold are of merchantable quality (that is, they are in a suitable condition to be sold). This condition applies if the following three circumstances are all present:

* The consumer buys the goods by description from the seller.  

* The seller deals in goods of that description. 

* The consumer inspects the goods and does not find a defect that they ought to have found in making that inspection. 

As with the implied condition of fitness for purpose, there is considerable case law on the interpretation of when the three circumstances are present and what the standard is for merchantable quality. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec20_smooth section 20(2)]). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void in this case and the business may well have the consumer sign a waiver. This protection does not apply to consumer-consumer sales.

== Information gathering==

Obtain all the details of the transaction, including basic information about the seller, any documents relating to the sale, and any notes on conversations between the client and the seller throughout the transaction.

You should also consider whether the seller has “policies” that deal with such matters as the return of goods, as with some department stores. Where there are registration requirements for the goods, such as cars, a search may be helpful. Where the problem involves matters of title claims to the goods, search the [https://www2.gov.bc.ca/gov/content/employment-business/business/managing-a-business/permits-licences/bc-registry-services-personal-property-registry Personal Property Registry].

== Solving the problem==

Protections and remedies in the [http://canlii.ca/t/84c2 ''Sale of Goods Act''] can be an important part of client redress for a wide variety of consumer sales problems. However, beyond a consumer’s legal rights, a variety of factors may influence how the problem is approached. A consumer may decide to:

* do nothing, 

* attempt to negotiate directly with the seller,  

* enlist the assistance of a consumer help service, or 

* take legal action, depending on the other factors. 

There are many ways to resolve disputes if the client is not satisfied with goods or services bought. The [http://www.consumerinformation.ca/eic/site/032.nsf/eng/h_01165.html Complaint Roadmap], offered by the federal government’s Office of Consumer Affairs, provides a guide for making a complaint to a business. The [https://www.clicklaw.bc.ca/resource/2116 ''Canadian Consumer Handbook''], also from the Office of Consumer Affairs, offers advice for making an effective complaint.

=== Terms of the contract===

Consider ''Sale of Goods Act'' rights in the context of the whole of the consumer contract. It is important to know both the terms of the agreement that are implied by law, and also the express terms (that is, the specific terms agreed to by the parties, such as a consumer’s right to return goods), which may go beyond the rights under the ''Sale of Goods Act''.

=== Type of seller===

Consider also the type of seller the consumer is dealing with. As described above, some rights arise only with businesses, while other rights arise in both business-consumer and consumer-consumer situations. The type of seller may also factor into the consumer’s response. For example, department stores are often easier for consumers to deal with than smaller retail businesses. Many department stores have policies of accepting the return of goods within a reasonable period of time, regardless of whether or not the goods are defective. Car dealers often have a reputation of being harder to deal with.

[http://www.consumerprotectionbc.ca/consumers-alias/help-for-how-can-we-help Consumer Protection BC] may be able to help resolve complaints if it involves one of these businesses: debt collection and bailiffs, travel, cemetery and funeral services, payday lending, home inspections, telemarketers, motion pictures, credit reporting, consumer contracts, and gift cards.

=== Type of product===

Consider the type of product sold, as it may not be practical to seek a remedy at all. The product’s value is of particular relevance.

=== Seriousness of the defect===

How serious is the product’s defect? It may be wise, and practical, for a consumer to ignore relatively minor defects, while more serious ones may justify taking the time to seek a remedy in court.

=== Reality of recovery===

In almost any consumer situation, it is important to assess the reality of recovery. If a seller is likely to be unresponsive to a complaint, then the consumer needs to assess the prospect of taking court action. If a seller is an individual from whom it may be difficult to collect even if the consumer obtains a court judgment, it may be wiser to do nothing rather than face continuing frustration without any tangible result.

== Related topics and materials==

See the other sections on making a purchase:

* Deposits in Consumer Transactions 

* Misleading Advertising 

* Unfair or Deceptive Practices 

* Unsolicited Goods and Services 

* Leases 

There are various useful texts on this topic, including Sale of Goods in Canada by G.H.L. Fridman and ''The Sale of Goods'' by P.S. Atiyah (note: the latter is based on English law, which differs somewhat from BC law). These texts are a starting point for finding cases that interpret sections of the ''[http://canlii.ca/t/84c2 ''Sale of Goods Act'']''.

Online resources for finding other cases include the [https://www.canlii.org/en/ CanLII website] and the [http://www.quicklaw.ca LexisNexis Quicklaw] pay service (available in [https://www.courthouselibrary.ca Courthouse Libraries] across the province).

Some business organizations oversee certain industries. Consumer Protection BC offers a [https://www.consumerprotectionbc.ca/consumer-help/consumer-referrals/ Consumer Referral Directory] that lists agencies to help with particular problems. The [https://www.bbb.org/en/ca/bc Better Business Bureau] may be able to help resolve disputes with businesses that are listed with them.

Also see People’s Law School’s pages on [https://www.peopleslawschool.ca/everyday-legal-problems/consumer/making-purchase making a purchase].

@@ Line 31: / Line 31: @@
 === The goods are reasonably fit for the purpose===
-Under section 18(a) of the Sale of Goods Act, an implied condition of the contract is that the goods sold are reasonably fit for their intended purpose. This condition applies if the following three circumstances are all present:
+Under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec18_smooth section 18(a)] of the ''Sale of Goods Act'', an implied condition of the contract is that the goods sold are '''reasonably fit for their intended purpose'''. This condition applies if the following three circumstances are all present:
-	•	The consumer tells the business the intended purpose for the goods.
+* The consumer tells the business the intended purpose for the goods.
-	•	The consumer shows that they are relying on the seller’s skill or judgment.
+* The consumer shows that they are relying on the seller’s skill or judgment.
-	•	The seller sells the goods in the usual course of the seller’s business.
+* The seller sells the goods in the usual course of the seller’s business.
-There is considerable case law on the interpretation of when the three circumstances are present and what the standard is for reasonable fitness. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under section 20(2)). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void and the business may well ask the consumer to sign a waiver. This protection does not apply to consumer-consumer sales.
+There is considerable case law on the interpretation of when the three circumstances are present and what the standard is for reasonable fitness. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec20_smooth section 20(2)]). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void and the business may well ask the consumer to sign a waiver. This protection does not apply to consumer-consumer sales.
+=== The goods are of merchantable quality===
+Under section 18(b) of the Sale of Goods Act, an implied condition of the contract is that the goods sold are of merchantable quality (that is, they are in a suitable condition to be sold). This condition applies if the following three circumstances are all present:
+* The consumer buys the goods by description from the seller.
+* The seller deals in goods of that description.
+* The consumer inspects the goods and does not find a defect that they ought to have found in making that inspection.
+As with the implied condition of fitness for purpose, there is considerable case law on the interpretation of when the three circumstances are present and what the standard is for merchantable quality. This protection always applies to business-consumer sales and leases of new goods (retail waivers are void under [https://www.canlii.org/en/bc/laws/stat/rsbc-1996-c-410/latest/rsbc-1996-c-410.html#sec20_smooth section 20(2)]). This protection probably does not apply to business-consumer sales or leases of used goods, since waivers are not void in this case and the business may well have the consumer sign a waiver. This protection does not apply to consumer-consumer sales.
+== Information gathering==
+Obtain all the details of the transaction, including basic information about the seller, any documents relating to the sale, and any notes on conversations between the client and the seller throughout the transaction.
+You should also consider whether the seller has “policies” that deal with such matters as the return of goods, as with some department stores. Where there are registration requirements for the goods, such as cars, a search may be helpful. Where the problem involves matters of title claims to the goods, search the [https://www2.gov.bc.ca/gov/content/employment-business/business/managing-a-business/permits-licences/bc-registry-services-personal-property-registry Personal Property Registry].
+== Solving the problem==
+Protections and remedies in the [http://canlii.ca/t/84c2 ''Sale of Goods Act''] can be an important part of client redress for a wide variety of consumer sales problems. However, beyond a consumer’s legal rights, a variety of factors may influence how the problem is approached. A consumer may decide to:
+* do nothing,
+* attempt to negotiate directly with the seller,
+* enlist the assistance of a consumer help service, or
+* take legal action, depending on the other factors.
+There are many ways to resolve disputes if the client is not satisfied with goods or services bought. The [http://www.consumerinformation.ca/eic/site/032.nsf/eng/h_01165.html Complaint Roadmap], offered by the federal government’s Office of Consumer Affairs, provides a guide for making a complaint to a business. The [https://www.clicklaw.bc.ca/resource/2116 ''Canadian Consumer Handbook''], also from the Office of Consumer Affairs, offers advice for making an effective complaint.
+=== Terms of the contract===
+Consider ''Sale of Goods Act'' rights in the context of the whole of the consumer contract. It is important to know both the terms of the agreement that are implied by law, and also the express terms (that is, the specific terms agreed to by the parties, such as a consumer’s right to return goods), which may go beyond the rights under the ''Sale of Goods Act''.
+=== Type of seller===
+Consider also the type of seller the consumer is dealing with. As described above, some rights arise only with businesses, while other rights arise in both business-consumer and consumer-consumer situations. The type of seller may also factor into the consumer’s response. For example, department stores are often easier for consumers to deal with than smaller retail businesses. Many department stores have policies of accepting the return of goods within a reasonable period of time, regardless of whether or not the goods are defective. Car dealers often have a reputation of being harder to deal with.
+[http://www.consumerprotectionbc.ca/consumers-alias/help-for-how-can-we-help Consumer Protection BC] may be able to help resolve complaints if it involves one of these businesses: debt collection and bailiffs, travel, cemetery and funeral services, payday lending, home inspections, telemarketers, motion pictures, credit reporting, consumer contracts, and gift cards.
+=== Type of product===
+Consider the type of product sold, as it may not be practical to seek a remedy at all. The product’s value is of particular relevance.
+=== Seriousness of the defect===
+How serious is the product’s defect? It may be wise, and practical, for a consumer to ignore relatively minor defects, while more serious ones may justify taking the time to seek a remedy in court.
+=== Reality of recovery===
+In almost any consumer situation, it is important to assess the reality of recovery. If a seller is likely to be unresponsive to a complaint, then the consumer needs to assess the prospect of taking court action. If a seller is an individual from whom it may be difficult to collect even if the consumer obtains a court judgment, it may be wiser to do nothing rather than face continuing frustration without any tangible result.
+== Related topics and materials==
+See the other sections on making a purchase:
+* Deposits in Consumer Transactions
+* Misleading Advertising
+* Unfair or Deceptive Practices
+* Unsolicited Goods and Services
+* Leases
+There are various useful texts on this topic, including Sale of Goods in Canada by G.H.L. Fridman and ''The Sale of Goods'' by P.S. Atiyah (note: the latter is based on English law, which differs somewhat from BC law). These texts are a starting point for finding cases that interpret sections of the ''[http://canlii.ca/t/84c2 ''Sale of Goods Act'']''.
+Online resources for finding other cases include the [https://www.canlii.org/en/ CanLII website] and the [http://www.quicklaw.ca LexisNexis Quicklaw] pay service (available in [https://www.courthouselibrary.ca Courthouse Libraries] across the province).
+Some business organizations oversee certain industries. Consumer Protection BC offers a [https://www.consumerprotectionbc.ca/consumer-help/consumer-referrals/ Consumer Referral Directory] that lists agencies to help with particular problems. The [https://www.bbb.org/en/ca/bc Better Business Bureau] may be able to help resolve disputes with businesses that are listed with them.
+Also see People’s Law School’s pages on [https://www.peopleslawschool.ca/everyday-legal-problems/consumer/making-purchase making a purchase].
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Difference between revisions of "Sale of Goods Law"

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