Who is a consumer: s 3
S 3(1)
A person who acquires goods that cost less than 40,000 or
if more than 40,000, the goods are of a kind ordinarily acquired for personal, domestic or household use or consumption or a vehicle or trailer used mainly for transporting goods on public roads.
S 3(2) a person is not a consumer if the goods (regardless of price paid) are acquired:
-for the purpose of re-supply or
-for using them up or transforming them, in trade or commerce (business) in production or manufacture or
-repairing or treating other goods for fixtures on land.
Crago v Multiquip Pty Ltd (1998)
Ostrich egg incubator is not ordinarily acquired for personal, household or domestic use.
Atkinson v Hastings Deering Pty Ltd (1985)
Tractor could not be a good ordinarily acquired for personal, domestic or household use. Therefore, this was not a consumer contract.
Statutory guarantees relating to the supply of goods P354
Acceptable quality: s 54
Fit for any disclosed purpose: s 55
The goods correspond with the description: s 56
The goods correspond with the sample or demonstration model in quality, state or condition: s 57
Supplier will comply with any express warranty given or made by the supplier: s 59(2)
However, all guarantees will apply on the goods based on:
Seller must sell the goods in trade or commerce (not private dealings)
Not be by auction
So have to consider this when each time talk about the guarantee
S 54 guarantee of acceptable quality means goods: p355
Are fit for the purpose for which such goods are normally supplied
Are of acceptable appearance and finish
Do not have defects
Are safe and durable
Grant v Australian Knitting Mills (1935) ( privy council held that the goods, as sold, were not of merchantable quality, but if there was a warning on the packet, this will protect both the manufacturer and retailer)
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