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    Question

    According to Section 14(b) of the Sale of Goods Act,

    1930, what is the scope of the implied warranty of quiet possession? 
    A The buyer may never be questioned on ownership of the goods Correct Answer Incorrect Answer
    B The buyer shall have and enjoy quiet possession of the goods, and if disturbed due to seller's defective title, buyer may claim damages Correct Answer Incorrect Answer
    C The seller guarantees that no third party will ever make any claim to the goods Correct Answer Incorrect Answer
    D Quiet possession is guaranteed only for one year from the date of purchase Correct Answer Incorrect Answer
    E This warranty is negated if the buyer does not have documentation of purchase Correct Answer Incorrect Answer

    Solution

    Section 14(b) provides an implied warranty: "that the buyer shall have and enjoy quiet possession of the goods, and that nothing in the title of the seller, nor in any charge or encumbrance affecting it, will disturb such possession." Breach occurs when the buyer is dispossessed by a third party claiming superior title or asserting an encumbrance on the goods. For example, if A buys a motorcycle from B, but the motorcycle is later seized as being stolen property, A suffers breach of this warranty and can recover damages from B. Importantly, this warranty is collateral to the main contract, so breach entitles the buyer only to damages, not rejection of goods. The warranty survives even after the buyer has taken possession and used the goods.

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