Multiple choice

Following conditions are implied in a contract of sale of goods unless the circumstances of the contract show a different intention:

  1. condition as to non - existence of encumbrances

  2. condition as to undisturbed possession

  3. both (1) and (2)

  4. none of these

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

This question tests knowledge of implied conditions in contracts for the sale of goods. The question states that certain conditions ARE implied UNLESS the contract shows a different intention. The options list: (1) condition as to non-existence of encumbrances, (2) condition as to undisturbed possession, (3) both (1) and (2), (4) none of these. Option D (none of these) is marked correct because implied conditions in sale of goods are not established UNLESS specifically stated or circumstances require them. The default position is that no conditions are implied; they must be expressly agreed or arise from the nature of the transaction.