Sale of Goods Act hub

Glossary

A short glossary of the terms mentioned in SOGA made simple and throughout SOGA hub.

Consequential loss

The damages that a customer can claim from you if a faulty item has caused damage or injury.

Disproportionately costly

The retailer can refuse to repair or replace an item if the cost of this would be much (disproportionately) more than value of the perfect goods, except in exceptional circumstances.

Durability

The durability requirement is that the item should work or last for a reasonable time but it does not have to remain of satisfactory quality. For example, a pair of wellington boots should stay waterproof but does not have to keep its brand new appearance.

Fair wear and tear

Goods cannot be expected to work fault-free forever. They can break down or become worn through normal use. This is called fair wear and tear, and a customer cannot hold the retailer responsible for it.

Faulty

Failing to work as it should, therefore it does not match its description, or is not satisfactory quality, or not fit for purpose. We use 'faulty' throughout SOGA explained and all documents in SOGA hub to describe any or all of these three problems.

Fit for purpose

The item should be fit for the purpose it is sold for. For example a three-seater sofa should be able to hold the weight of three adults without breaking. An oven-proof dish should not crack if it is placed in the oven at a high temperature.

Impartial

Used to describe someone who does not favour any side in an argument or discussion. A good example of someone who is impartial is a judge in a court - they must listen to both sides and make a decision based purely on what is said in court and any evidence provided.

Match the/their description

When someone buys an item and relies on the description given of it (on a label or any other written material, or orally) the item must be as described. For example, a car described as a 2003 registered 1200cc car must have been registered in that year and be of that engine size.

Particular purpose

If a customer says that an item is wanted for a particular purpose, even if it is not the usual purpose for which it is sold, it has to be fit for that purpose if the retailer agrees, or does not disagree and sells it on that basis. For example, if a customer tells you they want an outdoor jacket for mountaineering in extreme weather conditions, and you sell them a showerproof jacket, then it is clearly not fit for that particular purpose.

Reasonable time

This depends on the item and the circumstances. What is reasonable is determined by taking everything into account and considering what an impartial person would think is reasonable.

Rescind the contract

When someone decides to return a faulty item that they have accepted, and accept a partial refund that reflects the use they have had from the goods. Rescission is discharge of a contract by agreement. In certain circumstances, the law allows consumers to treat the contract as at an end, return the goods and obtain a partial refund. The partial refund is the purchase price minus an amount to reflect the use or benefit that the customer has had from the item. If the item has never worked, no deduction should be made.

Satisfactory quality

Meeting the standard a reasonable person would think of as satisfactory, taking account of the goods' description, price and so on.

Serious shortcomings

If installation instructions are written with shortcomings that result in the customer not being able to use them adequately, then they could argue the goods were not fit for purpose, and make a claim.

Six years

Under the Limitation Act 1980, you can only take legal action over breaches of contract for up to six years after the event. In the case of faulty goods, the event is the date the goods were purchased. For goods purchased in Scotland this is five years after discovering a fault.

Statements

Any public statements by the manufacturer, importer, producer or retailer about goods, especially in advertising or labelling, have to be factually correct - and are part of your contract with the customer.

The Sale of Goods Act (and other legislation)

Consumers' and retailers' rights and responsibilities are covered by a number of different Acts of Parliament and regulations. These include the Sale of Goods Act 1979; the Supply of Goods (Implied Terms) Act 1973; the Unfair Contract Terms Act 1977; the Supply of Goods and Services Act 1982; Sale and Supply of Goods to Consumers Regulations 2002; the Unfair Terms in Consumer Contracts Regulations 1977, and the Consumer Protection From Unfair Trading Regulations 2008.

Online, they are covered by the Consumer Protection (Distance Selling) Regulations 2000, the E Commerce Regulations (Electronic Commerce Regulations) 2002 and The Financial Services (Distance Marketing) Regulations 2004.

Time is of the essence

Used to describe a delivery time when the customer has made clear that the delivery date is an important term of the contract, or this is clear from the nature of the contract.

Working days

Monday, Tuesday, Wednesday, Thursday, Friday (not Saturday and Sunday or public holidays, for example, Christmas Day, May Bank Holiday).

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Impartial
Used to describe someone who does not favour any ...

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