Asked by
parteek sandhu
on Nov 10, 2024
Verified
With respect to a sale of goods, which one of the following statements is false?
A) In a retail sale of new goods, the seller can always exclude liability for breach of all implied terms in the Sale of Goods Act by a carefully drawn exemption clause.
B) A seller who has been given a cheque that bounces (is dishonoured for insufficient funds) in payment for goods that he still possesses has a choice of rights against the goods themselves and an action for breach of contract against the buyer.
C) The Sale of Goods Act provides terms that will be taken to be part of a contract for goods even though the parties failed to mention anything about such matters.
D) In commercial transactions, a buyer of goods has the protection of the "fit for purpose" provision, but legislation enables the seller to exempt himself from liability.
E) The Sale of Goods Act permits commercial parties to exclude the Act if they mutually want to.
Exemption Clause
An Exemption Clause is a part of a contractual agreement that seeks to limit the liability of one of the parties in certain situations, effectively exempting them from fulfilling certain obligations or liabilities.
Commercial Transactions
Activities involving the purchasing, selling, trading, and distribution of goods and services among businesses or entities.
- Acquire knowledge on the legal ramifications of exemption clauses in contracts pertaining to the sale of goods.
Verified Answer
KD
Learning Objectives
- Acquire knowledge on the legal ramifications of exemption clauses in contracts pertaining to the sale of goods.