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CSEET · Business Laws and Management · Elements of Law relating to Sale of Goods

Meera Traders sells a laptop to Karan, who tells the seller he needs it for video editing and relies on the seller's advice. The seller regularly deals in laptops. Under the Sale of Goods Act, 1930, which implied condition arises?

The implied condition is that the laptop shall be reasonably fit for video editing. The buyer disclosed the purpose, relied on the seller's skill or judgment, and the seller deals in such goods in the course of business, so the Act implies a condition of reasonable fitness.

  1. AThe goods shall be reasonably fit for the purpose made known by the buyerCorrect
  2. BThere is no implied condition because the buyer can inspect the goods
  3. CThe goods shall be of the highest available quality in the market
  4. DOnly an implied warranty arises, and it cannot be treated as a condition

Explanation

Where the buyer makes known the particular purpose, relies on the seller's skill or judgment, and the goods are of a description the seller supplies in the course of business, there is an implied condition that the goods are reasonably fit for that purpose. Option B is wrong because the facts satisfy every requirement, and inspection is not what removes the condition here. Option C overstates the standard, which is reasonable fitness.

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