Jarvis Ltd, owned by directors Robert and Peter Jarvis, a newly formed company, manufacture small farming equipment as well as supplying component parts for repairs. They sell their products to specialist retailers and trade suppliers. Jarvis Ltd trade on their own standard terms and conditions, which includes a requirement for payment within 21 days of delivery. At present their contract terms do not contain a Retention of Title Clause (‘RoT‘).
Robert and Peter seek your advice on the contractual benefits of including an RoT in their standard written terms of sale, to protect them in the following situations:
a) Where an item of equipment is sold as a complete unit;
b) Where a component part is purchased by way of a replacement part in an existing machine.
LO-1: Analyse and evaluate key statutes, rules, concepts and theories, identifying
principal rules by applying techniques of interpretation to them.
LO-2: Explain the key principles and rules that relate to commercial law.
LO-3: Apply those rules to complex factual situations and produce a reasoned judgment of possible outcomes
LO-4: Evaluate doctrinal and conceptual difficulties and ambiguities with principles, rules and concepts and analyse alternative approaches and outcomes
LO-5: Evaluate doctrinal and conceptual difficulties and ambiguities with principles, rules and concepts and analyse alternative approaches and outcomes
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