Commonwealth Consolidated Acts

TRADE PRACTICES ACT 1974 - SECT 74B

             (1)  Where:

                     (a)  a corporation, in trade or commerce, supplies goods manufactured by the corporation to another person who acquires the goods for re‑supply;

                     (b)  a person (whether or not the person who acquired the goods from the corporation) supplies the goods (otherwise than by way of sale by auction) to a consumer;

                     (c)  the goods are acquired by the consumer for a particular purpose that was, expressly or by implication, made known to the corporation, either directly, or through the person from whom the consumer acquired the goods or a person by whom any antecedent negotiations in connexion with the acquisition of the goods were conducted;

                     (d)  the goods are not reasonably fit for that purpose, whether or not that is a purpose for which such goods are commonly supplied; and

                     (e)  the consumer or a person who acquires the goods from, or derives title to the goods through or under, the consumer suffers loss or damage by reason that the goods are not reasonably fit for that purpose;

the corporation is liable to compensate the consumer or that other person for the loss or damage and the consumer or that other person may recover the amount of the compensation by action against the corporation in a court of competent jurisdiction.

             (2)  Subsection (1) does not apply:

                     (a)  if the goods are not reasonably fit for the purpose referred to in that subsection by reason of:

                              (i)  an act or default of any person (not being the corporation or a servant or agent of the corporation); or

                             (ii)  a cause independent of human control;

                            occurring after the goods have left the control of the corporation; or

                     (b)  where the circumstances show that the consumer did not rely, or that it was unreasonable for the consumer to rely, on the skill or judgment of the corporation.