Workshop Materials Consumer Protection Topic 5 Consumer Protection

Workshop Materials Consumer Protection

Topic 5 � Consumer Protection Questions ◦ Sample question 1. Consumer Protection ◦ Class practice question 1. Consumer Protection

Sample Question Consumer Protection

Consumer Protection Richard went to antique furniture dealer in Upper Lascar Row and told the dealer he wanted an authentic elegant antique dining table and chair set, with gold leaf trim, as real gold would be over his budget. The dealer recommended a dining set made from imported mahogany wood with the gold –leaf metal trim which cost $48, 000. The dealer clarified with Richard the trim was not real gold. Richard bought the dining set and arranged for delivery. A few weeks later Richard had a formal dinner party, everyone commented on the beautiful dining set. At the party, some of the gold from the trim marked the jacket of one of the guests. On closer inspection, the gold trim was not gold metal leaf but just gold painted trim. Richard would like to return the dining set, advise him of his rights under the Sale of Goods Ordinance. Do not consider any remedies under the Law of Contract.

Consumer Protection Richard went to antique furniture dealer in Upper Lascar Row and told the dealer he wanted an authentic elegant antique dining table and chair set, with gold leaf trim, as real gold would be over his budget. The dealer recommended a dining set made from imported mahogany wood with the gold –leaf metal trim which cost $48, 000. The dealer clarified with Richard the trim was not real gold. Richard bought the dining set and arranged for delivery. A few weeks later Richard had a formal dinner party, everyone commented on the beautiful dining set. At the party, some of the gold from the trim marked the jacket of one of the guests. On closer inspection, the gold trim was not gold metal leaf but just gold painted trim. Richard would like to return the dining set, advise him of his rights under the Sale of Goods Ordinance. Do not consider any remedies under the Law of Contract. DON’T LIST OR STATE RELEVANT FACTS IN ISOLATION

Consumer Protection Introductory part � Subject matter / topic area ◦ This question requires an examination of Consumer Protection Law and in particular, whethere was a breach of a vital term of the contract. ◦ Specific area – conditions, warranties, termination of a contract ◦ Particular area of law / legal rule(s) � Conditions may be treated as a warranty � Repudiation of a contract � Can Richard seek damages NOTE � As the key focus for discussion in this question is on conditions, warranties and rejection of goods, there is no need to consider any other aspect of the Ordinance

Consumer Protection Relevant Law � Sale of Goods Ordinance ◦ List the relevant provisions of the ordinance ◦ List any cases relevant to the law for discussion �For each provision or case, note the legal authority and the principle of law: �Section 2 Interpretation �Section 13 When condition to be treated as warranty �Section 55 Remedies for breach of warranty �Chao Keh Lung v Don Xia [2004] 2 HKLRD 11 �Wing Tat Haberdashery Co Ltd v Elegance Development & Industrial Co Ltd [2012] HKEC 230 Note � Only list the “relevant law”

Consumer Protection Discussion part � Apply the Law to the Facts ◦ Discuss the facts by applying the law to the facts, and analyse whether the legal requirements / tests have been met �What was the discussion regarding the gold trim �Is the gold trim vital to the contract �Can Richard reject the goods and return them to the seller �Provisions to be applied: �Section 2, 13, 55 �Cases to be considered: �Chao Keh Lung Remember � This part requires you to refer to the relevant facts when you are applying the law to those facts

Consumer Protection Discussion part � Apply the Law to the Facts ◦ A more detailed analysis may consider: �Is the gold leaf a condition or warranty �Is the primary remedy applicable here �Are the goods more than defective

Consumer Protection � Conclusion

Class Practice Question Consumer Protection

Consumer Protection Candice visited a newly opened store that offered domestic and international electrical goods at wholesale prices. Candice was interested in a new television, a 3 D flat screen. The shop assistant said they come with the standard legal warranty. Candice selected the model she liked and bargained a great price which included delivery. Candice negotiated cash on delivery so that she would know the TV would be delivered and that she would receive the correct model, as she had previously paid for goods on the internet that were either the wrong goods, or never arrived. Candice could not be home on the day the TV was set for delivery as she had an overnight trip to Macau already booked to see a new theatre show, so her mother was home for the delivery with the payment. Candice’s mother paid the delivery man when the TV was delivered. When Candice arrived back the next morning, she was shocked to see that the box said “Export Model Only”, and that it was not made to receive local TV channels and only able to receive US channel tuning. Advise Candice.

Consumer Protection Candice visited a newly opened store that offered domestic and international electrical goods at wholesale prices. Candice was interested in a new television, a 3 D flat screen. The shop assistant said they come with the standard legal warranty. Candice selected the model she liked and bargained a great price which included delivery. Candice negotiated cash on delivery so that she would know the TV would be delivered and that she would receive the correct model, as she had previously paid for goods on the internet that were either the wrong goods, or never arrived. Candice could not be home on the day the TV was set for delivery as she had an overnight trip to Macau already booked to see a new theatre show, so her mother was home for the delivery with the payment. Candice’s mother paid the delivery man when the TV was delivered. When Candice arrived back the next morning, she was shocked to see that the box said “Export Model Only”, and that it was not made to receive local TV channels and only able to receive US channel tuning. Advise Candice. DON’T LIST OR STATE RELEVANT FACTS IN ISOLATION

Introductory part � Subject matter / topic area ◦ This question requires an examination of Consumer Protection Law, and in particular, whether the TV was of merchantable quality and able to be inspected on delivery. ◦ Specific area - implied conditions, afforded opportunity to inspect ◦ Particular area of law / legal rule(s) WHAT IS THE KEY FOCUS FOR DISCUSSION IN THIS QUESTION

Relevant Law � Sale of Goods Ordinance ◦ List the relevant provisions of the ordinance ◦ List any cases relevant to the law for discussion �For each provision or case, note the legal authority and the principle of law: �Section 2 Interpretation �Section 16 Implied undertakings as to quality or fitness �Section 36 Buyer's right of examining goods Note � Only list the “relevant law”

Discussion part � Apply the Law to the Facts ◦ Discuss the facts by applying the law to the facts, and analyse whether the legal requirements / tests have been met �Was the television of merchantable quality �Was Candice denied an opportunity to inspect the TV �Provisions to be considered �? ? ? �Cases to be considered: �? ? ? Remember � This part requires you to refer to the relevant facts when you are applying the law to those facts

Discussion part � Apply the Law to the Facts ◦ A more detailed analysis may consider: �Is the TV fit for purpose �Did Candice take the opportunity to inspect the goods on delivery

Conclusion