Merchantable quality used to be a standard implied into contracts as part of the Trade Practices Act. However, the Trades Practices Act has been superseded by the Competition and Consumer Act 2010 [CCA], and the merchantable quality provision has been replaced by a requirement for ‘acceptable’ quality. Acceptable quality means that the goods are fit for all the purposes for which they are commonly supplied, acceptable in appearance and finish, free from defects, safe, and durable. What is acceptable quality is determined by the nature of the goods, their price and any statements made on packaging or representation made about the goods by the supplier. The CCA is consumer law, but affects individual transactions with a value less than $40,000. See also Quality, Acceptable.« Back to Glossary Index
Discover the world’s largest Glossary of Procurement terms
With over 800 Procurement specific terms (and growing) you will find everything you need to know or thought you knew about the Procurement function. Our aim is to provide you with a comprehensive list collated from the Comprara Groups hub of training and consulting source materials.The Procurement Glossary has been compiled by industry expert Paul Rogers.