Are there exceptions to the Consumer Guarantees Act?

The Consumer Guarantees Act (CGA) provides a framework that ensures consumers receive certain guarantees when they purchase goods and services. However, there are specific exceptions to these guarantees, particularly concerning goods that are purchased for business purposes.

When goods are bought for business use, the CGA typically does not apply if the total cost exceeds $25,000. This means if a business purchases goods that are intended for commercial use and the price surpasses this threshold, those goods may not be covered under the guarantees stipulated in the CGA. This exception helps delineate between consumer transactions and commercial transactions, recognizing that businesses have different needs and considerations.

The other choices do not accurately reflect the nuanced application of the CGA. While it may seem intuitive to assume no exceptions exist at all, the Act explicitly acknowledges that certain transactions are outside its purview. Furthermore, while the CGA does include provisions relevant to used goods, the exceptions are not limited solely to the condition of the goods but rather their intended use and value.