Consumer Protection Act, 2008 (Act No. 68 of 2008)Chapter 2 : Fundamental Consumer RightsPart F : Right to fair and honest dealing44. Consumer’s right to assume supplier is entitled to sell goods |
| 1) | Subject to subsection (2), every consumer has a right to assume, and it is an implied provision of every transaction or agreement, that— |
| a) | in the case of a supply of goods, the supplier has the legal right, or the authority of the legal owner, to supply those goods; |
| b) | in the case of an agreement to supply goods, the supplier will have a legal right, or the authority of the legal owner, to— |
| i) | sell the goods at the time the title to those goods is to pass to the consumer; or |
| ii) | lease the goods at the time the lessee is to take possession of the leased goods; |
| c) | as between the supplier and the consumer, the supplier is fully liable for any charge or encumbrance pertaining to the goods in favour of any third party unless— |
| i) | such a charge or encumbrance is disclosed in writing to the consumer before the transaction or agreement is concluded; or |
| ii) | the supplier and consumer have colluded to defraud the third party; and |
| d) | the supplier guarantees that the consumer is to have and enjoy quiet possession of the goods, subject to any charge or encumbrance disclosed as contemplated in paragraph (c)(i). |
| 2) | If, as a result of any transaction or agreement in which goods are supplied to a consumer, a right or claim of a third party pertaining to those goods is infringed or compromised the supplier is liable to the third party to the extent of the infringement or compromise of that person’s rights pertaining to those goods, except to the extent of a charge or encumbrance disclosed as contemplated in subsection (1)(c)(i). |