The right to reject: did the Law Lords miss a trick? ask Stephen Sly and Paul Clarke
It is a strange fact that modern commerce in Britain owes more to the farmyard than is commonly supposed. Commercial dealings between businesses are still regulated largely by principles drawn up in the 19th century, when disputes tended to centre on the quality and suitability of horses, cattle or produce.
The Sale of Goods Act 1979 (SGA 1979), successor to the Sale of Goods Act 1893, remains the main source of rules on commercial transactions. Since the rules it embodies have existed for so long, interpretation is generally straightforward. But still, novel issues crop up and occasionally the courts have to give guidance.
One issue which has never been resolved to everybody's satisfaction is that of rejection of goods. Now the House of Lords has tried—and arguably failed—to clarify the rules.
THE RIGHT TO REJECT
SGA 1979 implies certain conditions into contracts of sale, breach of which gives the buyer a right to reject the goods supplied and terminate
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