A商务契约.docx

A商务契约.docx

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A商务契约

Assessmenttask

1

Outcome

covered

1

Assessmenttaskinstructions

Theassessmentisintheformofawrittenresponsetocasestudy1.

Therearethreequestions.Assessmentwillbedonebymeansofoneclosed-bookexercise.Asanintegratedtaskthisshouldbecompletedinamaximumofthreehours.Thisshouldincludetimeforreadingandreview.

Youmustmakeuseofthecasestudyinyouranswer.Insomeparts,however,theinformationinthecasestudyisastartingpointandyoushouldmakeuseofcaselawandideasthatyouhavestudiedduringstudyoftheUnit.Candidateswillbeexpected,asmuchaspossible,todemonstratethetheoreticallegalpositioninanswertoassessment.

AssessmentTask1

Outcome1

CaseStudy1

Michaelhasrecentlyhadsomereallybadluckwithsomeofhispurchases.Onthreeseparateoccasionshehasmadeapurchaseandhadreasontobelievethathisconsumerrightshavebeenviolated.

Hedecidedtogoonawalkingholidayandpurchasedan‘allweather’jacket.Themanufacturer’sdescriptionstatedthatthejacketwascompletelywaterproof,lightenoughtobecomfortableinanyweatherconditions（becauseofthenewtypeofmaterial,keepingthewearercoolinheatandwarmincold）.

Theyoffereda10yearguarantee,evenstatingthatthejacketwasofsuchaqualitythatitwouldprobablylastalifetime.

Afterwearinghisjacketforonlyonedayhecontactedtheretailer.Hewasveryconcerned.Theziphadbroken,waterhadpenetratedandhehadfeltcold.

OnreturningfromhisholidayMichaelboughtanexpensivegardenmaintenanceset（thisincludedelectricalitemssuchasmowerandtrimmeraswellashandheldtools）.

Asitwasahighcostitemheappliedforcreditfromthecreditcompanywhichnormallyprovidedfinancefortheshop’scustomers.Withinafewdaysofdelivery,themowerandtrimmerbreakdownandtheshopheboughtthemfromisclosingdown.

Hebuysthesamesetfromanotherretailer.Oncloseinspectionhenoticesthatthespecificationisnotthesameastheonehehadseendisplayedasademonstrator（theelectricalitemswerenotaslargeandthehandheldtoolswerefiberglassratherthanstainlesssteel）.

Michaelseeksadviceaboutwhattodoineachofthesituations.

Task

RespondtoMichael’srequestforadvice.

IncludeanswerstoallofthefollowingaspartofyourresponsetoMichael’srequest:

1.ExplaintherightsavailabletotheconsumerasofferedbytheprovisionsoftheSaleofGoodsAct1979（asamended）andprovideasuitableresponsetoMichael.

2.OutlinethetermsoftheConsumerCreditAct1974andadviseMichaelofhisrights.

3.ExplainthemainpointsoftheTradesDescriptionAct1968（asamended）anditsimplicationsforpurchaseofthegardenset.

Assessmenttask

1

Outcome

covered

1

Suggestedsolutionandmakinganassessmentdecision

1.SaleofGoodsAct1979（SOGA）definesasaleas:

‘contractinwhichthesellertransfersoragreestotransferpropertyingoodstothebuyerforamoneyconsideration,calledtheprice’.

TheoriginalActhasbeenamendedbytheSaleandSupplyofGoodsAct1994andtheSaleandSupplyofGoodstoConsumersRegulations2002.

Thelegaleffectofa‘sale’isthatthepurchaserobtainsarealrightoverthegoods.Thecontractcanbeverbal,inwritingorpartlywritten,partlyverbal.Ifgoodschangehandswithoutamoneytransactionthiswouldbebarter,andnotcoverbytheAct.

SOGAhassomeimpliedterms:

♦Thesellermusthave‘title’tothegoods

♦Nothirdpartyshouldhavetitletothegoodswhichwouldpreventthebuyerfromobtaininggoodtitle

♦ObligationsarisingcannotbeexcludedorrestrictedbyagreementundertheUnfairContractTermsAct1977（asamended）

♦NiblettLtdVConfectionersMaterialsC.（1921）

♦McDonaldVProvan（ScotlandStreet）Ltd（1960）

Goodssoldmustcomplywiththeirdescription（Section13SOGA1979）

Roberts&CoVYule（1986）

GrantVAustralianKnittingMills（1936）

Theymustalsobeof‘satisfactoryquality’andbeofa‘reasonablefitnessforthepurpose’（Section14（3）SOGA1979）

Whenconsideringwhethergoodsarefitforthepurpose,considerationswouldbegivento:

♦fitnessforpurposeforwhichgoodsarecommonlyused

♦appearanceandfinish

♦freedomfrommostdefects

♦safety

♦durability

ThomsonVJSears&Co（1926）

PriestVLast（1903）

FrostVAylesburyDairyCoLtd（1905）

Thereisaclearrelationshipbetween‘satisfactoryquality’and‘fitnessforpurpose’.

Whereproblemsoccurthebuyerdoesnothavetoprovenegligenceonthepartoftheseller.ThestrictliabilityunderSection14oftheActmeansthatthesellerhastoreturnboththepurchasepriceandcompensatefordamagewhichthedefectivegoodsmayhavecaused（provisionsofSOGAonlyapplytothebuyer）.

InresponsetoMichaelthefollowingshouldbeconsidered:

♦Thejacketisnotasdescribed（Section13SOGA1979）soMichaelisentitledtoarefundofthepurchaseprice（GrantvAustralianKnittingMills）

♦Thejacketwasnotofasatisfactoryquality（Section14SOGA1979）.Againthiswouldleadtorefundofpurchaseprice（PriestvLast（1903）anditisnotfitforthepurpose（Section14SOGA1979）givinghimyetanotherreasonforgettinghismoneyback（McCallumvMason1956）.

2.Thecreditagreementisanexampleofdebtor-creditor-supplieragreement.UnderSection75oftheConsumerCreditAct1975boththecreditorandthesupplierarejointlyliableinrespectofthebreachofcontract.Hewouldclaimagainstthecreditfirmforthefullamount（connectedlenderliability）.

NBMichaelwouldchoosewhethertoclaimagainstthecreditororthesupplier.

TheConsumerCreditAct（1974）introducedalicensingsystemtocoverallactivitiesrelatingtocredit.ItistheresponsibilityoftheDirectorGeneralofFairTradingtolicencethosewhoprovidecredit.

Itisacriminaloffencetoprovidecreditwithoutalicence.

TheActcontrolsregulatedagreementsandconsumerhireagreements.

Regulatedagreementsinclude:

Runningaccountcredit,fixedsumcredit,restrictedusecreditagreements,unrestrictedusecreditagreements.

ConsumerHireagreementsasdefinedinSection15oftheActisanagreementmadebyanownerofgoodstohiregoodstoanindividualknownasthe‘hirer’（thisisnotahirepurchaseagreement）.

UnderSection60oftheConsumerCreditAct1974thedocumentsignedundertheconditionalsaleorcreditsaleagreementshouldhaveaheadingstatingwhichtypeofagreementitis.

UndertheConsumerCredit（Agreement）Regulations1983thedocumentmustcontain:

♦Nameandaddressoftheparties.

♦Cashpriceswherearestricteduse,debtor-creditor-supplieragreement.

♦Amountofanydeposit.

♦Amountandtimingofeachpayment.

♦TheAPR（annualpercentagerate）ofthetotalchargeforcredit.

♦Thetotalamountpayable.

♦Detailsofanysecurityprovidedtodebtor.

♦Detailsofanychargespayabletodebtorifindefault.

♦Informationabouttheprotectionandremediesavailabletothedebtor.

Thismustbesignedandcopieskeptbybothdebtorandcreditor.

3.TheTradeDescriptionsAct1968providesprotectiontoconsumersthroughthecriminallaw.Afalsedescriptionmeansmisleadingtoamaterialdegree.Itisacriminaloffenceforaperson,inthecourseoftradeorbusiness:

Tomakeastatementknowntobefalseorrecklesslymakeastatementwhichisfalseinrespectofanyservices,accommodationorfacilities.

WingsVEllis（1985）

BritishAirwaysBoardVTaylor（1985）

FordvGuild（1990）

UnderSection2oftheActadescriptionwhichismisleadingtoamaterialdegree（directorindirect）canapplyinrespectofthefollowing:

♦Quantity,sizeorgaugeofgoods.

♦Compositionofgoods（100%）.

♦Methodofmanufacture（machinemade）.

♦Fitnessforpurpose,strength,performance,behaviouroraccuracy.

♦Otherphysicalcharacteristics.

♦Date,placeofmanufacture.

♦Conformitywithatypeofapproval（BritishStandards）.

♦Historyofgoodsincludingownershiporuse（mileageofcar）.

InMichael’ssituationthesellermighttrytoclaimthattherewasamistakemadeduetoinformationsuppliedandthateverypossiblethinghadbeendonetoavoidthissituationarising.Michaelwouldclaimthatthecompositionofthegoods（100%stainlesssteelasstatedonthedemonstrator）wasnotupheldandthereforenon-compliantwithBritishStandards.Althoughtheymayhavebeenfitforthepurpose,theywerenotasdescribed.Michaelshouldreceivearefund—hemayacceptanothersetifitwasstainlesssteel.

Assessmenttask2

2

Outcome

covered

2

Assessmenttaskinstructions

Theassessmentsarebasedoncasestudies.Theassessmentsshouldbecompletedseparately.

Casestudy2relatestoOutcome2.

Casestudy3relatestoOutcome3.

Outcomes2and3areassessedwithoutsupervision.Thecasestudiesmaybeissuedatthesametimebuttheassessmenttasksshouldbecompletedseparately.

Youmustmakeuseofthecasestudyinyouranswer.Insomeparts,however,thecasestudyisastartingpointandyoushouldmakeuseofcaselawandideasyouhavedevelopedasyouhaveworkedthroughtheUnit.

Candidateswillbeexpected,asmuchaspossible,todemonstratetherelevanttheoreticallegalposition.

Themarkingguidelinessetouttheminimumrequirementsforsuccessthroughouttheassessment.Tosucceed,candidatesmustmeettheminimumrequirementsforeverypartoftheassessment.

Theanswersprovidedareoutlineanswers,providinganoutline.Theyshouldnotbetakenastheonlysuitableformatforanacceptableanswer.Studentswillbeexpectedtoexplainthepointsmadeinrelevant,appropriatecasestudiesand,ifpossiblestatewhetherornotcaselawcanbereferredtointheadviceoffered.

AssessmentTask2