Terms Implied Into A Consumer Contract By The Consumer Rights Act 2015: To Supply Goods – S9 Goods To Be Of Satisfactory Quality; S10 Goods To Be Fit For A Particular Purpose; S11 Goods To Be As Described And Consumer Rights For Breach Provided By: S20 Right To Reject; S22 Time Limit For Short-term Right To Reject; S23 Right To Repair Or Replacement; S24 Right To Price Reduction Or A Final Right To Reject

Introduction To Implied Terms

Meaning Of Implied Terms

• Implied terms
  • Terms automatically included in a contract by law.
  • They apply even if the parties do not expressly mention them.
  • Intended to protect parties and ensure fairness.
  • Become part of the contract automatically.
• Sources of implied terms:
  • Statute.
  • Common law.
  • Custom.
  • Previous dealings.
• In consumer contracts:
  • The most important source is statute.
  • The Consumer Rights Act 2015 (CRA 2015) is the main legislation.

Purpose Of The Consumer Rights Act 2015

Why The Act Was Introduced

• Before 2015 consumer law was spread across several statutes.
• Consumer protection rules were complex.
• Different remedies existed under different legislation.
• The CRA 2015 was introduced to:
  • Simplify consumer law.
  • Improve consumer protection.
  • Increase certainty.
  • Consolidate previous legislation.
  • Provide clear remedies.

Main Aim Of The Act

• Protect consumers when buying goods, services and digital content.
• Ensure businesses provide goods of acceptable quality.
• Give consumers effective remedies when standards are not met.
• Balance consumer protection and commercial certainty.

Meaning Of Consumer

Consumer Rights Act 2015

• Consumer
  • An individual acting wholly or mainly outside their trade, business, craft or profession.
• Examples:
  • Person buying television for home.
  • Person buying clothing for personal use.
  • Person buying laptop for family use.
• Not usually consumers:
  • Business purchasing stock.
  • Company purchasing machinery for commercial operations.

Meaning Of Trader

• Trader
  • Person acting for purposes relating to trade, business, craft or profession.
• Examples:
  • Retail shop.
  • Car dealer.
  • Electronics company.
  • Furniture retailer.

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course

Section 9: Goods To Be Of Satisfactory Quality

Statutory Provision

• Consumer Rights Act 2015
  • Section 9
• Goods supplied under a consumer contract must be of satisfactory quality.

Meaning Of Satisfactory Quality

• Goods meet the standard that a reasonable person would regard as satisfactory.
• Court considers:
  • Description of goods.
  • Price paid.
  • Relevant circumstances.
  • Nature of product.

Objective Test

• Question asked:
  • Would a reasonable person regard the goods as satisfactory?
• Not:
  • What the trader thinks.
  • What the consumer personally thinks.

Factors Included In Satisfactory Quality

Fitness For All Common Purposes

• Goods should perform ordinary functions expected of them.
• Example:
  • Washing machine should wash clothes.
  • Car should operate safely.
  • Television should display images properly.

Appearance And Finish

• Goods should look as expected.
• Examples:
  • New car should not have obvious scratches.
  • New furniture should not be badly damaged.
  • New clothing should not be torn.

Freedom From Minor Defects

• Goods should not contain unnecessary defects.
• Examples:
  • Faulty wiring.
  • Broken switches.
  • Damaged components.

Safety

• Goods should be reasonably safe.
• Examples:
  • Electrical appliance should not cause electric shock.
  • Toy should not present unreasonable danger.
  • Vehicle should not have dangerous defects.

Durability

• Goods should last a reasonable time.
• Examples:
  • Refrigerator should not fail after a few days.
  • New mobile phone should not stop functioning almost immediately.
  • Washing machine should have reasonable lifespan.

Exceptions

Consumer Drawn To Defect

• Trader specifically points out defect before sale.
• Example:
  • Dealer explains scratch on used car.
  • Consumer purchases anyway.
• Consumer usually cannot later complain about that defect.

Examination Before Contract

• Consumer examines goods before purchase.
• Defect should have been obvious.
• Consumer may lose protection regarding obvious defect.

Defect Revealed By Examination

• If examination would reveal defect:
  • Consumer may not rely on section 9 regarding that defect.

Earlier Common Law Authority

Rogers v Parish (1987)

Facts

• New Range Rover purchased.
• Vehicle had numerous defects.
• Car remained usable but quality was poor.

Decision

• Vehicle was not of satisfactory quality.

Significance

• Demonstrates high standards expected for expensive goods.

Bernstein v Pamson Motors Ltd (1987)

Facts

• New car broke down shortly after purchase.

Decision

• Consumer unsuccessful.

Importance

• Decision later criticised.
• Modern CRA protection is much stronger.

Importance Of Section 9

• Most commonly used consumer protection provision.
• Covers many defects.
• Provides broad protection.
• Easier for consumers to rely upon than previous law.

Section 10: Goods To Be Fit For A Particular Purpose

Statutory Provision

• Consumer Rights Act 2015
  • Section 10
• Goods must be fit for any particular purpose made known to the trader.

Meaning

• Consumer informs trader of a specific purpose.
• Trader supplies goods.
• Goods must be capable of fulfilling that purpose.

Requirements

Particular Purpose Must Be Communicated

• Consumer must tell trader intended purpose.
• Examples:
  • Need waterproof jacket for mountain climbing.
  • Need printer compatible with specific software.
  • Need paint suitable for exterior walls.

Trader Must Supply Goods

• Trader provides product knowing purpose.
• Consumer relies upon trader’s skill or judgment.

Goods Must Actually Perform That Purpose

• If they cannot:
  • Section 10 is breached.

Case: Grant v Australian Knitting Mills (1936)

Facts

• Consumer bought woollen underwear.
• Chemicals remained in garment.
• Skin condition developed.

Decision

• Goods were not fit for purpose.

Principle

• Consumer relying on trader expects product to be suitable.

Significance

• Classic authority illustrating fitness for purpose.

Examples

Section 10 Breach

• Customer states:
  • “I need a laptop for advanced graphic design.”
• Trader recommends model.
• Laptop cannot run software.
• Goods not fit for purpose.

No Breach

• Consumer chooses item independently.
• Does not rely on trader.
• Purpose never communicated.

Importance

• Provides protection beyond ordinary quality.
• Focuses on consumer’s specific needs.
• Particularly useful for technical products.

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course

Section 11: Goods To Be As Described

Statutory Provision

• Consumer Rights Act 2015
  • Section 11
• Goods must match their description.

Meaning

• Consumer receives goods corresponding to description given by trader.
• Description may come from:
  • Labels.
  • Packaging.
  • Website listings.
  • Advertising.
  • Catalogues.
  • Sales discussions.

Importance

• Consumer often purchases goods without full inspection.
• Description may be crucial.
• Online sales rely heavily upon descriptions.

Requirements

Description Must Exist

• Trader provides description.

Consumer Relies On Description

• Description influences purchase.

Goods Must Match Description

• Difference creates breach.

Case: Beale v Taylor (1967)

Facts

• Car advertised as particular model.
• Car actually consisted of parts from different models.

Decision

• Goods did not match description.

Principle

• Goods must correspond with description.

Significance

• Leading authority on description.

Case: Re Moore & Landauer (1921)

Facts

• Tinned fruit sold in cases of 30 tins.
• Contract specified cases of 24 tins.
• Goods were correct quantity overall.

Decision

• Breach occurred.

Principle

• Goods must match description exactly.

Modern Examples

Breach

• Phone advertised with 512GB storage.
• Actually contains 256GB.

Breach

• Jacket advertised as leather.
• Made from synthetic material.

Breach

• Car advertised as 2023 model.
• Actually 2021 model.

Relationship Between Sections 9, 10 And 11

Section 9

• Quality.

Section 10

• Particular purpose.

Section 11

• Description.

Example

• Car advertised as:
  • New.
  • Four-wheel drive.
  • Suitable for towing.
• Problems:
  • Major defects → Section 9.
  • Cannot tow trailer → Section 10.
  • Not actually four-wheel drive → Section 11.

Consumer Remedies For Breach

Purpose Of Remedies

• Give consumers practical protection.
• Encourage trader compliance.
• Provide simple solutions.
• Restore fairness.

Main Remedies

• Section 20
  • Right to reject.
• Section 22
  • Time limit for short-term right to reject.
• Section 23
  • Repair or replacement.
• Section 24
  • Price reduction or final right to reject.

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course

Section 20: Right To Reject

Meaning

• Consumer may reject goods that breach statutory rights.
• Rejection means:
  • Returning goods.
  • Ending contract.
  • Obtaining refund.

When Available

• Goods breach:
  • Section 9.
  • Section 10.
  • Section 11.
• Consumer chooses rejection remedy.

Effect

• Contract effectively comes to an end.
• Consumer receives refund.

Refund Rules

• Trader must refund consumer.
• Refund generally:
  • Within 14 days.
  • Using same payment method where possible.

Importance

• Strong consumer protection.
• Gives immediate remedy.
• Avoids forcing consumer to keep defective goods.

Section 22: Time Limit For Short-Term Right To Reject

Basic Rule

• Short-term right to reject generally lasts 30 days.

Starting Point

• Usually begins when:
  • Ownership transferred.
  • Goods delivered.
  • Installation completed if installation required.

Effect Of 30-Day Period

Within 30 Days

• Consumer may reject goods.
• Full refund available.

After 30 Days

• Consumer normally moves to later remedies.
• Repair or replacement usually considered first.

Suspension Of Time

• If repair or replacement takes place:
  • 30-day period may pause.
• Consumer does not lose rights because trader attempts repair.

Importance

• Provides clear time frame.
• Encourages quick complaints.
• Creates certainty.

Section 23: Right To Repair Or Replacement

Meaning

• Consumer may require trader to:
  • Repair goods.
  • Replace goods.

Consumer Choice

• Consumer initially chooses:
  • Repair.
  • Replacement.
• However:
  • Trader may refuse if unreasonable.

Trader Can Refuse If

Impossible

• Example:
  • Unique item unavailable.

Disproportionate Cost

• Cost excessively high compared with alternative remedy.

Repair Requirements

• Must be:
  • Within reasonable time.
  • Without significant inconvenience.
  • At trader’s expense.

Replacement Requirements

• Replacement goods must:
  • Conform to contract.
  • Meet statutory standards.
  • Be provided without significant inconvenience.

Importance

• Allows practical solution.
• Saves transaction.
• Avoids unnecessary rejection.

Example

• New laptop has faulty keyboard.
• Consumer requests replacement.
• Trader may:
  • Replace laptop.
  • Repair laptop if replacement disproportionate.

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course

Section 24: Right To Price Reduction Or Final Right To Reject

Meaning

• Available where:
  • Repair fails.
  • Replacement fails.
  • Repair impossible.
  • Replacement impossible.
  • Trader refuses repair or replacement.
  • Repair causes unreasonable delay.
  • Significant inconvenience occurs.

Price Reduction

Meaning

• Consumer keeps goods.
• Purchase price reduced.

Extent Of Reduction

• May be:
  • Partial reduction.
  • Up to full price in serious cases.

Example

• Television has cosmetic defect.
• Consumer willing to keep it.
• Price reduced.

Final Right To Reject

Meaning

• Consumer rejects goods after repair/replacement remedy fails.
• Contract ends.
• Refund obtained.

Difference From Short-Term Right To Reject

Short-Term Right

• Available within initial period.

Final Right

• Available later after repair/replacement problems.

Deduction For Use

General Rule

• Refund may be reduced to reflect consumer’s use.

Exception

• Certain goods have special protection.

Importance

• Prevents trader endlessly attempting repairs.
• Gives consumer final solution.
• Encourages effective repair process.

Example Of Remedy Structure

Example Scenario

• Consumer buys washing machine.

Stage 1

• Machine defective.
• Consumer uses:
  • Section 20 right to reject within 30 days.

OR

Stage 2

• Consumer chooses repair.
• Section 23 applies.

Stage 3

• Repair unsuccessful.
• Consumer uses:
  • Section 24 final right to reject.

OR

• Consumer keeps machine and receives price reduction.

Examination Approach

Step 1

• Identify consumer contract.

Step 2

• Identify implied term breached.

Section 9

• Satisfactory quality.

Section 10

• Particular purpose.

Section 11

• Description.

Step 3

• Determine appropriate remedy.

Within 30 Days

• Section 20.
• Section 22.

Repair Or Replacement

• Section 23.

Repair Fails

• Section 24.

Step 4

• Apply facts carefully.
• Ask:
  • Is quality defective?
  • Is purpose defeated?
  • Is description inaccurate?
  • Is rejection still available?
  • Has repair already occurred?
  • Has replacement failed?

Strengths Of The Consumer Rights Act 2015

Clarity

• Simplifies consumer law.
• Consolidates previous legislation.

Strong Consumer Protection

• Provides clear standards.
• Gives effective remedies.

Certainty

• Businesses understand obligations.
• Consumers understand rights.

Practical Remedies

• Repair.
• Replacement.
• Refund.
• Price reduction.

Modern Approach

• Suitable for modern consumer transactions.
• Helpful for online purchases.

Weaknesses Of The Consumer Rights Act 2015

Cost For Businesses

• Repairs and replacements may be expensive.

Disputes About Quality

• “Satisfactory quality” remains partly subjective.

Potential For Abuse

• Some consumers may attempt to reject goods unfairly.

Complex Remedy Structure

• Multiple remedies may confuse consumers.

Commercial Burden

• Businesses may face significant compliance costs.

Key Cases To Memorise

Rogers v Parish (1987)

• High standards for quality.

Grant v Australian Knitting Mills (1936)

• Fitness for purpose.

Beale v Taylor (1967)

• Goods must match description.

Re Moore & Landauer (1921)

• Exact compliance with description required.

Key Statutory Sections

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course

Quick Revision Table

Examination Evaluation Points

• The Consumer Rights Act 2015 implies important terms into consumer contracts.
• Sections 9, 10 and 11 provide minimum standards for goods.
• Goods must be:
  • Of satisfactory quality.
  • Fit for purpose.
  • As described.
• These terms automatically form part of consumer contracts.
• Breach gives consumers statutory remedies.
• Section 20 provides a short-term right to reject.
• Section 22 generally gives a 30-day rejection period.
• Section 23 provides repair or replacement.
• Section 24 provides price reduction or final rejection if earlier remedies fail.
• The CRA 2015 significantly strengthened consumer protection and simplified previous law.
• It remains one of the most important statutory interventions in modern contract law.

Written and Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total Personal A Grades, 7 Distinctions and 11 World Records For Educate A Change A Level Law Full Scale Course