Highlights
18 months ago, Saraga purchased a computer from Classy Computers Pty Ltd (CC) to use for gaming. She made it clear to the sales assistant that she intended to use the computer for this purpose. The sales assistant promised that the computer was fast enough to be used for gaming. She signed a document entitled "Sales Agreement". The document was prepared by CC and when Saraga asked whether it was necessary that she sign the document, she was told by the sales assistant that she did not have to, but that if she did not, she would not be able to purchase the computer from CC. The document contains the following terms: Where a product is faulty within 12 months of purchase, Classy Computers Pty Ltd promises to repair the fault free of charge. Where a product is faulty after 12 months of purchase, Classy Computers Pty Ltd promises to repair the fault for a flat fee of $99. 23. This agreement contains all the terms and conditions of sale. 24. Any express or implied condition, or warranty, statutory or otherwise not stated herein is hereby excluded.
1. The computer developed a fault six months after it was purchased. There are two reasons why CC is obliged to repair the computer. What are they? (10 marks)
2. Does the sales assistant's statement that CC will not sell the computer to Saraga unless she signs the document provide grounds to get out of the contract on the basis of duress?
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