South Australian Consolidated Acts6—Conditions and warranties to be implied in consumer contracts
(1) In every consumer
contract for the sale of goods there is—
(a) an
implied condition on the part of the supplier that in the case of a sale the
supplier has a right to sell the goods, and that in the case of an agreement
to sell the supplier will have a right to sell the goods at the time when the
property is to pass; and
(b) an
implied warranty that the goods will be free from any charge or encumbrance in
favour of a third party not declared or known to the consumer before or at the
time when the contract is made.
(2) In every consumer
contract for the sale or supply of goods there is an implied warranty that the
consumer will have and enjoy quiet possession of the goods for so long as the
consumer is not in default under the contract.
(3) In every consumer
contract for the sale or supply of goods by description there is an implied
condition that the goods will correspond with the description, and if the
contract is made by reference to sample as well as description, it is not
sufficient that the bulk of the goods corresponds with the sample if the goods
do not also correspond with the description.
(4) In every consumer
contract for the sale or supply of goods there is an implied condition that
the goods are of merchantable quality but no such condition is implied—
(a) as
regards defects in goods of which the supplier or an agent of the supplier
could not reasonably have been aware at the time the contract was made; or
(b) if
the consumer has examined the goods or a sample of the goods, as regards
defects that the examination ought to have revealed.
(5) For the purposes
of this section goods are of merchantable quality if they are as fit for the
purpose for which goods of that description are ordinarily used as is
reasonable to expect having regard to the following considerations:
(a) the
price of the goods and the terms and conditions of the relevant consumer
contract and the circumstances surrounding the formation of the contract; and
(b) the
apparent condition of the goods.
(6) If the consumer
expressly, or by implication, makes known to the supplier, or a servant or
agent of the supplier the particular purpose for which the goods are required,
so as to show reliance on the supplier's skill or judgment and the goods are
of a description which it is in the course of the supplier's business to
supply, there is an implied condition in the consumer contract that the goods
are reasonably fit for that purpose.