Exam 15: Sales and Consumer Protection

Gregory went to Collegiate Sports Ltd. with his dad, who asked for some shoes for Gregory suitable for playing squash. Gregory was given a pair of running shoes suitable only for jogging. His dad paid by cash. That evening, wearing the new shoes while playing squash, Gregory broke his ankle. In the ensuing lawsuit, the statement of claim cited the provisions of the Sale of Goods Act. Which of the following is true if it were proven that the shoes were inappropriate and the cause of the injury?

Consumer protection legislation falls exclusively under federal jurisdiction.

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

Which of the following is true with regard to the implied terms of the Sale of Goods Act?

Every province has enacted legislation requiring that the true cost of borrowing be disclosed, thus prohibiting excessive rates of interest and costs in loan transactions.

The general rule is that risk follows title.

A warranty under the Sale of Goods Act is a condition the breach of which will allow the victim of the breach to refuse to go through with their side of the agreement.

Explain what is meant by "referral selling".

Explain what is meant by merchantable quality.

With F.O.B. contracts, title and risk always transfer at the seller's place of business.

The transfer of the title and possession of the goods in exchange for money must be intended or anticipated for the Sale of Goods Act to apply.

What's the main purpose of the Sale of Goods Act?

For the purpose of building a playhouse for his sons, Andy went to Lumberlore Ltd. and bought, with his charge card and without talking to a salesperson, the following things: a drill, lumber, and a six-foot step ladder. While working on the project, Andy noted that the drill worked but it was not powerful enough to drill into the 4x4 inch posts the playhouse needed for support. When he went toward the house to get his car keys, he found his wife unconscious. She had used the ladder to take some leaves out of the gutter, and it buckled under her weight because of its faulty design. Which of the following is false?

Explain the options that are available to the victim of a breach of a condition in the contract.

Explain the liability of the parties on an "accepted" bill of exchange.

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

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.

Some jurisdictions allow civil suits against abusive debt collectors.

Which of the following statements accurately state the law with respect to consumer transactions?

Discuss the different types of negotiable instruments and indicate the significance of them being classified as negotiable.