Depends on the industry. There are industries where high defect rates are an accepted norm. These are not necessarily codified. For example: if you order fresh fruit/vegetables in bulk, a certain percentage always arrive below acceptable quality. That is simply a norm in the industry. You are free to inspect/reject as much as you want, but nobody will want to sell to you if you make a lawsuit out of every bad apple.

I don't think what you described differs from the GP. The bad apples were not thrown into the lot intentionally.