Business Law in Practice Quiz

Laws that govern the terms and rules for selling and transferring ownership of goods. This includes implied guarantees and responsibilities of traders.

Guarantees in a sales agreement, not specifically stated but understood in a sale— for instance, goods are of acceptable quality and fit for the purpose.

Pre-defined shipping guidelines in contracts that allocate risks and duties (delivery, insurance).

Point in the sales process when ownership of a product formally changes from seller to buyer. Crucial for liability and risk allocation.

Failure to fulfill agreements made in a sales contract, resulting in a legal recourse for the harmed party.

Formal agreements that outline the specifics of a sales transaction (price, delivery, payment terms).

Identifying and mitigating potential issues (like defects, damage) within a sales transaction, protecting both vendor and customer.

Process of discussing and agreeing upon the specifics of a contractual agreement for a sale— price, timeline, liabilities (e.g. product defects, damage).

English legislation that summarizes, rather than reforms, the common law of the sale of goods, implying terms into sales contracts unless otherwise agreed by the parties.

Terms automatically part of a sale of goods contract unless specifically excluded by the parties.

The legal relationship between the customer and the seller that must exist for the Sale of Goods Act to apply to a sale transaction.

A sale between a non-business consumer and a business, may have specific limitations around excluding implied terms within the Sale of Goods Act.

Terms explicitly agreed upon by the parties in a sale contract, overriding implied terms if they conflict.

The act of deliberately preventing the Sale of Goods Act from applying to a specific sale contract

Provincial laws in Canada, based on the 1893 English law, governing the sale of goods, except in Quebec.

The legal framework governing agreements between parties, and how it affects the sale of goods.

The legal principle that buyers are expected to take responsibility for inspecting goods and understanding the risks associated with a purchase.

A law that governs the conditions and rules for transferring ownership of goods in a sale, including implied guarantees and responsibilities of sellers.

A guarantee, not explicitly mentioned in the contract, that goods will be fit for their intended purpose and meet acceptable quality standards.

Tangible, movable personal property, including things attached to land if they can be removed. This does not include land, buildings, services, or intangible assets like intellectual property.

A 'sale of goods' involves transferring ownership of a tangible product, while the 'provision of services' involves providing labor or expertise.

A restaurant meal is considered a 'sale of goods' because it primarily involves the transfer of tangible food.

Contracts may attempt to exclude the applicability of the Sale of Goods Act, but these exclusions are often ineffective when a consumer is involved.

It ensures consumers are not bound by unfair terms that attempt to exclude fundamental protections like implied warranties.

A legal guarantee that goods sold by description will match the description in a contract.

Contract terms that limit or remove a party's liability for certain events or consequences.

When a buyer chooses not to inspect goods before accepting delivery, they take on the risk of any defects.

The specific mixture of sand, silt, and clay in soil, impacting its drainage properties.

A pond designed to collect excess water runoff, helping control flooding.

Contract clauses specifying the right and responsibility for inspecting goods before delivery.

Who is responsible for problems with goods sold - the buyer or the seller?

When an appeal court disagrees with a lower court's decision, changing the original ruling.

Goods that exist and are identified at the time of contract formation. They can be specifically pointed to and identified.

Goods not yet set aside and identified as the subject of the contract, like a generic product from a larger batch.

Goods that don't exist yet but will be produced in the future, like a pre-order item.

When specific goods are in a deliverable state, ownership transfers to the buyer upon contract formation, regardless of payment or delivery timing.

If the seller must do something to make specific goods ready for delivery, ownership only transfers after completion and buyer notification.

ABC buys 200 specific packages of goods, pays in full, and goods are set aside. A fire destroys the goods before delivery. ABC bears the loss because ownership transferred at contract formation.

Goods are in a condition ready for delivery to the buyer, according to the contract terms.

It's crucial to identify whether goods are specific, unascertained, or future goods to apply the correct ownership transfer rule.

The process of selecting and setting aside specific goods from a larger stock to fulfill a particular contract. This is crucial for transferring ownership, as it links the goods to the contract.

Agreement of the both buyer and seller to the specific selection of goods for the contract. It can be expressed explicitly or implied by actions.

The legal moment when ownership of goods transfers from seller to buyer. This point determines who bears the risk of loss or damage to the goods.

The responsibility for any damage or loss to the goods after the contract is formed. Generally, ownership coincides with the allocation of risk.

When goods are definitively set aside for a contract without any conditions or contingencies. The buyer has final approval of the selection.

Clear and explicit approval of the buyer or seller to the appropriation of goods. It can be written, verbal, or implied by actions.

Assent to appropriation that is inferred from actions or conduct. For instance, the buyer picking up the designated goods.