Quality, Acceptable

The Competition and Consumer Act 2010 [CCA] has replaced the requirement to provide goods and services of merchantable quality with 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, and affects individual transactions with a value less than $40,000.In determining whether goods are of acceptable quality, the following factors need to be considered: the nature and price of the goods, any statements made about the goods on packaging or labels, any representations made about the goods by the supplier or any other relevant circumstances relating to the supply of the goods. Accordingly, acceptable quality is a more demanding requirement than ‘merchantable quality’, as described in the superseded Trade Practices Act. See also Quality.