Chapter 5: The Sale of Goods and Consumer Protection Law
Exercises
True or False?
1.

Leases are governed by the Sale of Goods Act. (F)

2.

Fitness for intended purpose is an implied condition under the Sale of Goods Act.

(T)
3.

Specific performance is a remedy available in special circumstances only. (T)

4.

Unpaid sellers have no statutory remedies. (F)

5.

The Consumer Protection Act, 2002 requires that ambiguous contract terms be

construed in favour of the consumer. (T)
6.

The Consumer Protection Act, 2002 creates a ten-day cooling-off period for all

consumer transactions. (F)
7.

The Consumer Protection Act, 2002 requires that the final bill for service for which

an estimate was given is equal to or less than the estimate.
At the time of the transaction or within 30 days afterward, the seller must provide these same details to the buyer in a form that the buyer can retain (for example, via a confirmation email that the buyer is advised to print and save).

5.

Why does the law extend special protections to consumers, as opposed to business parties? The Consumer Protection Act, 2002 recognizes that some consumers lack the business savvy or product knowledge to identify false or misleading representations about products and services, and that this puts them at a disadvantage in relation to sophisticated sellers. Also, the Act recognizes— based on the history of consumer and commercial litigation—that certain kinds of transactions (for example, remote sales agreements) carry a particularly high level of opportunity for abuse by unscrupulous sellers.

6.

How and by whom is food safety enforced under the Food and Drugs Act?
Food safety is enforced by Health Canada's development of detailed regulations governing food growing, harvesting, handling, packaging, and storage. These regulations are enforced primarily by the Canadian Food Inspection Agency

Canadian Business Law, 2nd Edition, Instructor's Guide
© 2012 Emond