ABSTRACT
[17.01] The chain of distribution. This chapter is concerned with the legal position of parties in the chain of distribution of goods in this country to their eventual consumption. The goods may be imported,. 2 or they may commence their existence in this country by growth or by manufacture such as to create a new identity. 3 Further, in relation to the last category, already-created goods may lose their separate identity by alteration, accession or intermixture. 4 Take the typical case of manufactured consumer durables, such as a motor car: the person who in common parlance is described as the ‘manufacturer’ (Z) 5 will actually create some parts of the vehicle, e.g. the body shell; but he will buy some components, e.g. electrical, from a components manufacturer or grower (X) or component wholesaler/importer (Y); and Z will wholly or in part act as an assembler or canner of those products. 6 The assembled goods will then be supplied by Z to the retail seller (B), 7 either directly, e.g. own brand goods, 5 or by way of one or more wholesalers (A1, A2, A3). 8 The retail buyer (C) 9 may use or consume the goods himself, or he may donate (see para 2.08 ) them to a donee/consumer (D). If the goods prove defective, the donee (D) may have a right of action against B or C in the tort of negligence (see para 15.29 ), or perhaps in contract against B on the basis of agency or assignment (see para 17.12 ). This whole sequence of events may be rendered diagrammatically as follows: 10 11 https://s3-euw1-ap-pe-df-pch-content-public-p.s3.eu-west-1.amazonaws.com/9780203867938/852ae9e5-085a-4c2b-b8ee-0559a8bfdc56/content/ch17_page572-01_B.tif" xmlns:xlink="https://www.w3.org/1999/xlink"/>
