- 10 Marks
Question
Kofi Adabla visited the showroom of Car Dealers Ltd, a company that sells used vehicles. Kofi Adabla informed Car Dealers Ltd that he needed a vehicle that could withstand the rugged terrain. Kofi Adabla had his Mechanic with him. The salesman at the Car Dealers Ltd recommended a slightly used vehicle to Kofi Adabla. Kofi Adabla’s Mechanic did a thorough examination of the vehicle after which Kofi Adabla decided to buy the vehicle at a price of GH¢55,000.
Three months after Kofi Adabla bought the vehicle, it developed a mechanical fault which was promptly repaired by Car Dealers Ltd under the terms of sale, exhausting the warranty. Three months later, the vehicle developed another mechanical fault but Car Dealers Ltd refused to repair it. Kofi Adabla now threatens to sue.
Required:
i) Explain whether Kofi Adabla will succeed on a claim that the vehicle was not fit for the purpose for which it was acquired and that there was a breach of the conditions of sale. (5 marks)
ii) State the fundamental obligation of the seller under the Contract for Sale of Goods under the Sale of Goods Act, 1962 (Act 137). (5 marks)
Answer
i) Under section 13 (1) of the Sale of Goods Act, 1962 ACT 137, there is no implied warranty or condition as to the quality or fitness for a particular purpose of goods supplied under a contract of sale except that there is an implied condition that the goods are free from defects which are not declared or known to the buyer before or at the time when the contract is made, but that condition is not an implied condition.
However, where the buyer has examined the goods, in respect of defects which could have been revealed by the examination, there is an implied condition that the goods are fit for the purpose – Section 13(1)(a)(i).
On the strength that the mechanic did a thorough examination and under section 13(1) (a) (i), Kofi Adabla fails to succeed on his claim.
(5 marks)
ii) In the sale of specific goods, the fundamental obligation of the seller is to deliver those goods to the buyer. In a sale of unascertained goods, the fundamental obligation of the seller is to deliver to the buyer goods substantially corresponding to the description or sample by which they were sold. Any provision in a contract of sale which is inconsistent with, or repugnant to, the fundamental obligation of the seller is void to the extent of the inconsistency or repugnance.
(5 marks)
- Tags: Conditions of Sale, Fitness for Purpose, Sale of Goods
- Level: Level 1
- Topic: Sale of goods/hire purchase
- Series: JULY 2023
- Uploader: Dotse