Act of Parliament | |
Long title | An Act to amend the law with respect to the terms to be implied in certain contracts for the transfer of the property in goods, in certain contracts for the hire of goods and in certain contracts for the supply of a service; and for connected purposes. |
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Citation | 1982 c. 29 |
Dates | |
Royal assent | 13 July 1982 |
Status: Current legislation | |
Text of statute as originally enacted | |
Text of the Supply of Goods and Services Act 1982 as in force today (including any amendments) within the United Kingdom, from legislation.gov.uk. |
The Supply of Goods and Services Act 1982 (c. 29) is an Act of the Parliament of the United Kingdom that requires traders to provide services to a proper standard of workmanship ("with reasonable care and skill"). [1] Furthermore, if a definite completion date or a price has not been fixed then the work must be completed within a reasonable time and for a reasonable charge. The Act was partially superseded by the Consumer Rights Act 2015, insofar as that Act applies, i.e. between trader and consumers, for contracts entered into from 1 October 2015. [2] The Supply of Goods and Services Act 1982 as amended remains in force in England, Wales, Northern Ireland; only Part IA of the Act, which creates provisions analogous to Part I of the Act, and Part III, which deals with the Act's commencement etc., apply in Scotland.
Parts 1 and 1A (Scotland) relate to goods. The Act applies to "relevant contracts for the transfer of goods", being those where one person agrees to transfer property in goods, i.e. ownership of the goods, to another person; [3] the Act also applies to contracts for the hire of goods (sections 6 to 10A).
The Act does not, however, apply to any "excepted contract", which includes sales of goods (covered by the Sale of Goods Act 1979, for trader to trader contracts, and the Consumer Rights Act 2015, for trader to consumer contracts) and Hire Purchase Agreements. [4]
When applicable, the Act implies terms into "relevant contracts for the transfer of goods" and "relevant contracts for the hire of goods".
In summary, into "relevant contracts for the transfer of goods" the Act implies the following terms:
Section 2 prescribes an implied term regarding title (i.e. a legal right to transfer the property) and various implied warranties. [5]
If the seller knows from the buyer the particular purpose for which the goods are being acquired, sections 4(4) and 4(5) create an implied term that "the goods supplied under the contract are reasonably fit for that purpose". [8]
The Act also states that a reasonable time (section 14(2)) and a reasonable charge (section 15(2)) are "questions of fact", but it does not explain how the "fact of reasonableness" is to be determined. However, the Unfair Contract Terms Act 1977 and its concomitant case law provided a number of guidelines.
Trebor Bassett Holdings Ltd v ADT Fire and Security, 2012, involved a contract for ADT to "the design, supply, install and commission a fire detection and suppression system for a popcorn factory" in Pontefract owned and operated by Trebor Bassett and Cadbury. There was a fire in June 2005 which the installed system failed to extinguish. The Court held that ADT were asked to design a system to meet Bassett's specific fire safety requirements and therefore they were providing a service, for which there was a requirement to take reasonable care, but the design and supply of such a system did not constitute a "supply of goods" for the purpose of Part 1 of the Act. The section 4 requirement that "the goods supplied under the contract are reasonably fit for that purpose" was therefore not invoked by this contract. [9]
Caveat emptor is Latin for "Let the buyer beware". It has become a proverb in English. Generally, caveat emptor is the contract law principle that controls the sale of real property after the date of closing, but may also apply to sales of other goods too. The phrase caveat emptor and its use as a disclaimer of warranties arises from the fact that buyers typically have less information than the seller about the good or service they are purchasing. This quality of the situation is known as 'information asymmetry'. Defects in the good or service may be hidden from the buyer, and only known to the seller.
Passing off is a common law tort which can be used to enforce unregistered trade mark rights. The tort of passing off protects the goodwill of a trader from misrepresentation.
In common law jurisdictions, an implied warranty is a contract law term for certain assurances that are presumed to be made in the sale of products or real property, due to the circumstances of the sale. These assurances are characterized as warranties regardless of whether the seller has expressly promised them orally or in writing. They include an implied warranty of fitness for a particular purpose, an implied warranty of merchantability for products, implied warranty of workmanlike quality for services, and an implied warranty of habitability for a home.
The Competition and Consumer Act 2010 (CCA) is an Act of the Parliament of Australia. Prior to 1 January 2011, it was known as the Trade Practices Act 1974 (TPA). The Act is the legislative vehicle for competition law in Australia, and seeks to promote competition, fair trading as well as providing protection for consumers. It is administered by the Australian Competition & Consumer Commission (ACCC) and also gives some rights for private action. Schedule 2 of the CCA sets out the Australian Consumer Law (ACL). The Federal Court of Australia has the jurisdiction to determine private and public complaints made in regard to contraventions of the Act.
The Consumer Credit Act 1974 is an Act of the Parliament of the United Kingdom that significantly reformed the law relating to consumer credit within the United Kingdom.
The Convention on the Law Applicable to Contractual Obligations 1980, or the "Rome Convention", is a measure in private international law or conflict of laws which creates a common choice of law system in contracts within the European Union. The convention determines which law should be used, but does not harmonise the substance. It was signed in Rome, Italy on 19 June 1980 and entered into force in 1991.
The Unfair Contract Terms Act 1977 is an Act of Parliament of the United Kingdom which regulates contracts by restricting the operation and legality of some contract terms. It extends to nearly all forms of contract and one of its most important functions is limiting the applicability of disclaimers of liability. The terms extend to both actual contract terms and notices that are seen to constitute a contractual obligation.
Canadian contract law is composed of two parallel systems: a common law framework outside Québec and a civil law framework within Québec. Outside Québec, Canadian contract law is derived from English contract law, though it has developed distinctly since Canadian Confederation in 1867. While Québecois contract law was originally derived from that which existed in France at the time of Québec's annexation into the British Empire, it was overhauled and codified first in the Civil Code of Lower Canada and later in the current Civil Code of Quebec, which codifies most elements of contract law as part of its provisions on the broader law of obligations. Individual common law provinces have codified certain contractual rules in a Sale of Goods Act, resembling equivalent statutes elsewhere in the Commonwealth. As most aspects of contract law in Canada are the subject of provincial jurisdiction under the Canadian Constitution, contract law may differ even between the country's common law provinces and territories. Conversely; as the law regarding bills of exchange and promissory notes, trade and commerce, maritime law, and banking among other related areas is governed by federal law under Section 91 of the Constitution Act, 1867; aspects of contract law pertaining to these topics are harmonised between Québec and the common law provinces.
The Consumer Protection Regulations 2000, Statutory Instrument 2000/2334, implements European Directive 97/7/EC as UK law. They apply to contracts "concluded between a supplier and a consumer under an organised distance sales or services provision scheme run by the supplier who, for the purposes of the contract, makes use of one or more means of distance communication" up to and including the moment the contract is agreed. The legislation provides rights to the consumer and obligations which the seller must fulfill.
Unsolicited goods are, in British law, goods delivered to an individual with a view to the individual acquiring them, but where the individual has no reasonable cause to believe that they were delivered for legitimate business and had not previously agreed to acquire them. These were regulated under the Unsolicited Goods Act 1971 but the Consumer Protection Regulations 2000 are stricter in every respect rendering the 1971 Act largely redundant from a consumer law perspective, although there is no express repeal. However the said distance selling regulations only apply to consumers so a business receiving the goods on an unsolicited basis would need to look at the 1971 Act. Also with effect from 14 June 2014 the distance regulations are replaced by The Consumer Contracts Regulations 2013 which include a new s 29A added to the Consumer Protection from Unfair Trading Regulations 2008 making it clear the consumer may keep unsolicited goods. The 2008 regulations prohibit as a criminal offence various unfair advertising and marketing practices and in paragraph 29 of Schedule 1 make it a criminal offence to engage in "Demanding immediate or deferred payment for or the return or safekeeping of products supplied by the trader, but not solicited by the consumer, except where the product is a substitute supplied in accordance with regulation 19(7) of the Consumer Protection Regulations 2000 ".
The Sale of Goods Act 1979 is an Act of the Parliament of the United Kingdom which regulated English contract law and UK commercial law in respect of goods that are sold and bought. The Act consolidated the original Sale of Goods Act 1893 and subsequent legislation, which in turn had codified and consolidated the law. Since 1979, there have been numerous minor statutory amendments and additions to the 1979 Act. It was replaced for some aspects of consumer contracts from 1 October 2015 by the Consumer Rights Act 2015 but remains the primary legislation underpinning business-to-business transactions involving selling or buying goods.
Sale of Goods Acts regulate the sale of goods in several legal jurisdictions including Malaysia, New Zealand, the United Kingdom and the common law provinces of Canada.
A contract is an agreement that specifies certain legally enforceable rights and obligations pertaining to two or more mutually agreeing parties. A contract typically involves the transfer of goods, services, money, or a promise to transfer any of those at a future date, and the activities and intentions of the parties entering into a contract may be referred to as contracting. In the event of a breach of contract, the injured party may seek judicial remedies such as damages or rescission. A binding agreement between actors in international law is known as a treaty.
Contractual terms in English law is a topic which deals with four main issues.
In English law, implied terms are default rules for contracts on points where the terms which contracting parties expressly choose are silent, or mandatory rules which operate to override terms that the parties may have themselves chosen. The purpose of implied terms is often to supplement a contractual agreement in the interest of making the deal effective for the purpose of business, to achieve fairness between the parties or to relieve hardship.
The Supply of Goods Act 1973 was an Act of the Parliament of the United Kingdom that provided implied terms in contracts for the supply of goods and for hire-purchase agreements, and limited the use of exclusion clauses. The result of a joint report by the England and Wales Law Commission and the Scottish Law Commission, First Report on Exemption Clauses, the Act was granted royal assent on 18 April 1973 and came into force a month later. It met with a mixed reaction from academics, who praised the additional protection it offered while at the same time questioning whether it was enough; several aspects of the Act's draftsmanship and implementation were also called into question. Much of the Act was repealed by the Sale of Goods Act 1979, which included many of the 1973 Act's provisions.
Unfair terms in English contract law are regulated under three major pieces of legislation, compliance with which is enforced by the Office of Fair Trading. The Unfair Contract Terms Act 1977 is the first main Act, which covers some contracts that have exclusion and limitation clauses. For example, it will not extend to cover contracts which are mentioned in Schedule I, consumer contracts, and international supply contracts. The Consumer Rights Act 2015 replaced the Unfair Terms in Consumer Contracts Regulations 1999 and bolstered further requirements for consumer contracts. The Consumer Protection from Unfair Trading Regulations 2008 concerns certain sales practices.
The Consumer Guarantees Act (CGA) 1993 is a consumer protection law that was enacted in New Zealand in 1993. Consumer protections were previously in the Sale of Goods Act 1908.
The Consumer Rights Act 2015 is an Act of Parliament of the United Kingdom that consolidates existing consumer protection law legislation and also gives consumers a number of new rights and remedies. Provisions for secondary ticketing and lettings came into force on 27 May 2015, and provisions for alternative dispute resolution (ADR) came into force on 9 July 2015 as per the EU Directive on consumer ADR. Most other provisions came into force on 1 October 2015.
Unfair terms in Irish contract law generally refer to terms in contracts that provide an unreasonable imbalance, usually to the detriment of the consumer, in consumer and other contracts. These unfair terms are provided by common law and more recent statute, most notably Consumer Protection Act 2007 and the European Communities Regulations 1995.