Exam 5: Legislation in the Marketplace

Jones walked into a new car lot,pointed to a specific car,and said,"I'll take that one." Sam,the operator of the car lot,explained that there was a certain amount of pre-delivery preparation that had to take place before the car could be delivered,and that it would be ready for the purchaser two days later.It was agreed that the purchase price would be paid at that time.Explain who bears the risk in the meantime.

Carol went to the mall to purchase a cellphone.After discussing the features of several models with the vendor,she purchased one that suited her requirements.However,when she tried to use it,she found it would not work on any of the available networks.Which of the following implied term with respect to title under the Sale of Goods Act has been breached by the vendor of the cellphone?

Delbert stops at a yard sale to look for old musical equipment.He sees an amplifier that is exactly what he has been looking for.Delbert believes it is worth a lot more money than the $50 the owner is requesting.Delbert asks the owner whether or not the amplifier is in good working condition.The owner tells him that he knows nothing about the amplifier and is not prepared to comment further.Delbert purchases the amplifier for $50.Later he finds out that it had been stolen from a nearby music store and did not belong to the owner at the time he purchased it.Delbert's action for recovery of his money against the owner will

When a contract of purchase is entered into with regard to specific goods that are to be delivered some time in the future,title always transfers at the point of delivery.

Where the parties fail to state a price in a sale of goods transaction,what effect will the Sale of Goods Act have on that agreement?

As the fishing season slowed down in the fall,Bob decided that this might be a good time to find a real bargain in used equipment for his boat.He found a navigation instrument for sale for $15 000,a great price.However,he only had $10 000,so he borrowed the other $5000 from the bank.He also signed a chattel mortgage on the equipment as collateral in favour of the bank,which promptly registered its interest in the Personal Property Registry.Bob made his payments for a while,but things started to go badly for him.He was unable to make any further payments,although he still owed more than $3000.Desperate and not thinking too clearly,Bob sold his boat to his friend Claude for $50 000 and left for Central America with the funds.When the bank realized what Bob had done,it located the boat and demanded that Claude pay off the $3000+ or lose the navigational equipment.Claude was outraged because he had paid Bob in good faith and argued that he had never borrowed anything from the bank and therefore owed it nothing.Which one of the following statements accurately describes the legal situation here?

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

Explain what obligation the Sale of Goods Act puts on the seller with respect to fitness and quality.

Which of the following statements is correct with respect to a contract for the purchase of goods?

If goods are purchased by description or by sample and what is actually delivered does not match the description or sample,caveat emptor applies.

What obligations are placed on the owner of property in respect of builders' liens?

Tina's Gourmet Catering Ltd.(hereinafter referred to as "Tina's")makes several types of fresh salads,which it packages in sealed containers and sells to various retail outlets.Grandma Wright,shopping with her daughter Jane,bought one of Tina's salads at the delicatessen at Superdeal Grocers Ltd.(Superdeal).Jane and her grandmother drove to Jane's home,and Jane served the salad to her family for lunch.The salad was contaminated through Tina's carelessness and caused Jane's family to be very sick: the father missed work and the kids missed school for a week.Neither Jane nor her grandmother was sick because neither sat down with the others for lunch.On these facts,which of the following actions would most likely be successful?

The protection of consumers is solely a provincial responsibility.

Owen borrowed money from a credit union,guaranteed by his father,to buy a car.The credit union also registered a security interest under the Personal Property Security Act against the vehicle.Owen defaulted and,instead of repossessing the vehicle,the credit union demanded payment from the father.Explain the legal position of the father under these circumstances.

John bought a used car for $5000.Shortly afterward,a bailiff acting for an unpaid chattel mortgagee who had properly registered his claim in time seized the car.In which of the following circumstances can John sue the seller?

When a debtor voluntarily transfers her assets to a trustee in bankruptcy,it is called an assignment in bankruptcy.

If you buy a toaster from a second-hand dealer of small appliances,which of the following is true?

Explain the importance of the provisions of the Sale of Goods Act relating to fitness and quality of the goods.

What types of transactions do the Sale of Goods Act apply to?

Explain the process of receivership.