Explain the implied conditions and warranties under the Sale of Goods Ordinance.

1. 1 · Open in two lines. The Ordinance reads certain terms into every sale unless excluded. Breach of a condition allows rejection; breach of a warranty gives damages.
2. 2 · Define condition and warranty. Condition: essential to the main purpose. Warranty: collateral. Depends on the contract as a whole.
3. 3 · Implied conditions.
   • Title: right to sell.
   • Description; sample; description and sample.
   • Merchantable quality and fitness for purpose (Grant v Australian Knitting Mills).
4. 4 · Implied warranties. Quiet possession; freedom from encumbrances; trade usage.
5. 5 · Caveat emptor and exceptions. General rule, then fitness, merchantable quality, sample, trade usage, fraud.
6. 6 · Remedies. Reject plus damages for a condition; damages only for a warranty.
7. 7 · In Sri Lankan business. A cinnamon shipment below the 'Alba' grade described breaks the condition of description.
8. 8 · Close in one line. Implied terms protect buyers where caveat emptor would otherwise leave them exposed.

Scoring tip: Learn the five conditions as T-D-S-M-F and give one everyday example for each.