Implied Conditions
- Conditions as to title
There is an implied condition on the part of the seller that, in the case of sale, he has the right to sell the goods, and in the case of an agreement to sell, he will have the right to sell the goods when the property is to pass.
Thus if the seller has no title to the good, the buyer can reject the goods, or if he has taken possession of the goods and is deprived of it by the real owner, the buyer can recover the full price of the goods even if he has made use of them.
A bought a motor-car from and used it for 4 months. B had no title to the car because he has obtained the possession by theft and consequently A had to surrender it to the real owner. A was entitled to recover from B the full price even though he used the car for4 months. (Rowland Vs.Divall).
2. Sale by Description
Where there is a sale of goods by description, there is an implied condition that the goods shall correspond with the description. Goods are sold by description when they are described by the contract by means of words, symbols, number of grade, and the buyer relies on them when buying.
The rule that the goods shall correspond with the description applies both to specific and unascertained goods.
A bought a truck load of corn from B on the basis of a letter from the seller which referred to the corn as “No.3 Yellow 21 per cent moisture”. When the corn was received, it was 49 per cent moisture, mouldy and unfit for use, A could reject the goods or accept them and sue for damages.
- Condition as to quality or fitness: This condition in respect of merchantability and wholesomeness discussed below are exceptions to the doctrine of caveat
Ordinarily, in a contract of sale of goods, there is no implied warranty or condition that the goods supplied are of particular quality or are fit for a particular purpose. But in the following cases, there is such an implied condition.
- Where the buyer makes known to the seller the purpose for which he is buying the goods and indicates that he is relying upon the skill and judgement of the seller, and the goods are of a description which it is in the course of seller’s business to supply, there is an implied condition that the goods shall be reasonably fit for that
A asked B to supply him a certain number of clay pots which are suitable for heating and retaining molten glass, the buyer relied upon the judgement and skill of the seller. If the clay pots are not suitable for the purpose there is a breach of implied condition as to fitness for a particular purpose.
If the buyer purchases an article under its patent or their trade name, there is no implied condition as to its fitness for any particular purpose.
- Condition as to merchantable quality: But if the seller sells an article of the description in which he usually deals, even under its patent and trade name, there is an implied condition that it is of merchantable quality, e., it is saleable. Thus in the s le of a refrigerator, the name of the article itself implies that the seller warrants the machine to be fit for a particular purpose.
Although there is an implied condition as to merchantability, yet if the buyer has examined the goods, there is no implied condition as. regards defects which such examination ought to have revealed.
Examples
- A agreed to deliver motor-horns to B by instalments. The first instalment was good and was accepted by B, but the second contained a large quantity of horns which were damaged. B was held entitled to reject the whole instalments as the goods were not of saleable
- B wanted to buy some glue. As the seller showed him the glue which was stored in his warehouse in casks. B did not have the casks opened, which he could have done easily, but merely looked at the outside of the casks. The glue was found to have defects which could have been discovered if B had inspected the contents of the casks. It was held that there was no implied condition as to merchantable
- In Baldry Marshall the plaintiff wanted to buy a comfortable car suitable for touring purpose. The defendant stated, that their “Budgatticar” would serve the purpose. The car was seen by plaintiff. He ordered for the car. When the car was put on road, it was found to be unsuitable for touring purposes, the plaintiff claimed to return the car and recover the price paid for it. It was held that the plaintiff could return the car because the term that the car should be comfortable for touring purposes was a condition and not a warranty.
(c) Condition as to wholesomeness : In a sale of goods for human consumption, there is an implied condition on the part of the seller that the goods are wholesome and fit to be eaten or drunk by human beings.
B bought from A tinned salmon. B fell ill and his wife died as a result of eating the salmon. There was a breach of implied condition as to wholesomeness and A was liable to pay damage to B.
A bought milk from B, and the milk contained typhoid germs. A’s wife got infected and died. B was liable for damages for breach of implied condition of fitness as to wholesomeness of milk.
3. Sale by Sample
When the goods are to be supplied according to sample agreed upon the following conditions are implied
- The bulk shall correspond with sample in
- The buyer shall have a reasonable opportunity of comparing the goods with
- The goods shall be free from any latent defects rendering them unmerchantable which would not be apparent on reasonable examination of the
Example
- A sold to B by sample some apples put up in cans. The sample can appeared to be satisfactory , but the remainder of the goods were found to be spoiled. A was liable to pay damage to B for a breach of implied condition. B could reject the goods, if he liked.
- A sold two parcels of wheat by sample to B. B went to inspect the goods. One parcel was shown, not both. On finding the other parcel defective B was entitled to rescind the
- Some “worsted coating” quality equal to sample was sold to tailors. The cloth was found to have a defect in the texture which could not be detected on reasonable examination, and consequently the cloth was unfit for stitching into coats. The seller was held liable to pay damages to the buyers even though the same defect existed in the sample, but was not detected on examination.
4. Sale by Sample as well as by Description
Where goods are sold by sample as well as description, the goods must correspond both with the sample and with the description. In such cases, if the seller has seen and approved the sample and the goods are according to the sample, he can repudiate the contract if these are not according to description.
A agreed to sell B some oil described as “foreign refined rape oil, warranted only equal to sample”. The oil tendered was the same as the sample, but it was not “foreign refined rape oil” being a mixture of it and hemp oil. The buyer could reject the oil.
5. Condition as to quality or fitness.
In a contract of sale there is no implied condition as to quality or fitness of goods for a particular purpose. The buyer must examine the goods thoroughly before he buys them in order to satisfy himself that the goods will be suitable of the purpose for which he is buying them. The points to be noted are :
- Where the buyer, expressly or by implication, makes known to seller the particular purpose for which he needs the goods and depends upon the skill and judgement of the seller whose business is to supply goods of that description, there is an implied condition that the goods are reasonably fit for that
- An implied condition as to quality or fitness for a particular purpose may also be annexed by the usages of
- In case the goods can be used for a number of purposes, the buyer must tell the seller the particular purpose for which he requires the goods. If he does not, he cannot hold the seller liable if goods do not suit the particular purpose for which he buys the
6. Condition as to merchantability.
Where goods are bought by description from a seller who deals in goods of that description, there is an implied condition that the goods are of merchantable quality.
If goods are of such a quality and in such a condition that a reasonable person acting reasonably would accept them after having examined them thoroughly, they are of merchantable quality.
But where the buyer has examined the goods, there is no implied condition as regards defects which such examination ought to have revealed.
7. Condition as to wholesomeness.
In the case of eatables and provisions, in addition to the implied condition as to merchantability, there is another implied condition that the goods shall be wholesome.
Example :
A sold to B a tin of disinfectant powder, knowing that it was likely to be dangerous to B if it was opened without special care being taken. B opened the tin whereupon the powder flew into her eyes, causing injury. A was held liable to pay damages to B, as he should have warned B of the probable danger.
SELF CHECK TEST
- A, whije showing a piece of cloth to B, says “this is the best piece of cloth in the market”. B buys the 1 Etaesi’this settlement amount to a condition ?
- A tells B, “this radio will get all the European stations” or “this truck will do 15 miles on 5 litres”; Are these representation conditions ?
- A ordered a certain quantity of a specified grade of leather. He plans to use it for making suit cases. When he finds that the leather is not suitable for that purpose he sues the seller for damages on a breach /of implied Will he succeed ?
- A sold certain grain by description to B, a retailer. Part of the grain delivered by A was wet and Was there a breach of condition ?
- R Ltd. agreed to supply 500 tons of coal to Manchester Liners for S.S. “Manchester Importer”. The coal was found to be unsuitable for that particular ship. Has the buyer any remedy ?
- A bought 100 bales of “Fair Bengal” cotton by sample and after haying inspected the bulk, the cotton proved not to be such as was known in the market “Fair Bengal”. Was there a breach of
Answer :
- the statement does not amount to any condition, but only an opinion or sales talk B has no right against A.
- Yes, these representations amount to express conditions and their breach entitles the buyer to repudiate the contract or claim
- No, he will not succeed because he had ordered a specific grade of leather and there is no implied condition as to fitness for a particular purpose in such a
- Yes, there was a breach of implied condition as to
- The buyer can reject the coal or claim damages as the coal is not suitable for the particular
- Yes, there is a breach of implied condition as the cotton did not correspond to
