(b) That's wrong. As illustrated by the previous example, the sale of goods legislation gives a buyer the right to 'reject the goods and treat the contract as repudiated' if there has been a breach of a condition implied into the contract by the legislation.
However, in the NT, Qld, Tas, Vic and WA this right of rejection is lost as soon as:
the buyer accepts the goods, or
the buyer becomes the owner of the goods.
It is therefore important to recall that a buyer of specified or identified goods becomes owner as soon as they are bought and sold (even if delivery is delayed).
If goods sold are not yet identified or set aside as belonging to the contract when the agreement is made, the buyer only becomes owner when this is done.
If the right to reject goods for breach of condition has been lost, the buyer still retains a right to claim damages for loss arising from that breach. In other words, the breach of condition is treated as if it were a breach of warranty. In the present case, A becomes the owner of the agreed specific goods as soon as the contract is made and cannot therefore reject them. A is left with a right to claim damages from B if he is able to prove loss.
Note, however, that if the wrong goods are tendered or delivered to the buyer, the goods do not become the buyer's goods and the buyer retains the right to reject them even after delivery.