Exam 16: Sales and Consumer Protection

The Sale of Goods Act places certain obligations on the seller with respect to conveying good title. What are those requirements?

Bob, owner of a pizza business, went with his wife to pick out a new family car. Since they already knew the make and model they wanted, it did not take long before the contract was signed by the wife for a new 2017 Chevrolet. While the paperwork was being done, Bob talked with another salesman about the used cars on the lot, telling him that he needed a mechanically sound car but not a new car for his business. The salesman showed him one that he said was in good shape and would give several years of service. Bob made a very low offer that the salesman accepted, much to Bob's surprise. The contract Bob signed, like his wife's, contained a clause exempting the seller, B & S Motors, from liability for breach of any warranties, including any implied warranties under the Sale of Goods Act. A few weeks after the sale, the wife and daughter were injured in an accident caused by a faulty steering mechanism in the new car. Furthermore, the used car was not in good shape and lasted weeks, not years. On these facts, which of the following is true?

Which of the following is a statement of facts to which the Sale of Goods Act would apply?

Explain three significant contributions of the federal Competition Act.

"The Sale of Goods Act imposes terms into the contract that are even and fair, and that don't benefit one side over the other." Discuss the accuracy of this statement.

Explain how the abuses usually associated with door-to-door sales are controlled.

Under the Sale of Goods Act, the seller has a lien against the goods and can recover those goods from the purchaser in the event of default.

With respect to a sale of goods, which one of the following statements is false?

Which of the following is false with regard to a holder in due course?

With respect to a sale of goods, which one of the following statements is true?

A type of sales practice in which the purchaser supplies a seller with a list of friends or acquaintances and receives a benefit when sales are made to those people is known as

When the sale of goods is involved and a specific price has not been agreed upon, a reasonable price must be paid.

Discuss the consumer protection legislation in place in your province in terms of its effectiveness and purpose.

O'Neil bought a new car from a Chevrolet dealer for family use. The contract he signed contained the following clause: "The parties hereto expressly agree that the dealer is not liable for any breach of condition or warranty, express or implied." He also bought a used car radio from the dealer for his old car, which he was keeping. The contract for the radio was not in writing. The car did not run properly and O'Neil had it back in the shop seven times in three weeks. It was finally determined that the problem was due to a faulty transmission. Unfortunately, the car radio didn't work either. On these facts, which of the following is true?

"The Sale of Goods Act is another example of consumer protection legislation." Discuss the accuracy of this statement.

Which of the following contracts would be covered by the Sale of Goods Act?

Uncle Isaac has had some difficulty in a sale-of-goods contract and wants to know if there are any mistakes in the information he has received with regard to the remedies for breach of such a contract. Indicate the true statement.

John bought a car for $5000. Shortly afterwards, a bailiff acting for an unpaid security interest holder who had properly registered his financing statement seized the car. In which of the following circumstances will John be least likely to recover what he is owed?

Some jurisdictions allow civil suits against abusive debt collectors.

Sam went to Joe's garden shop and agreed to purchase a particular bin of bark mulch. The seller, Joe, agreed and said that he would just weigh it, figure out the price, and deliver it tomorrow. In the meantime, who has title to the bark mulch?