Rachit arranges an auction to sale an antic wall clock. Deepa, being one of the bidders, gives the highest bid. For announcing the completion of…
CA Foundation · Business Laws · MTP · May 2026
Rachit arranges an auction to sale an antic wall clock. Deepa, being one of the bidders, gives the highest bid. For announcing the completion of sale, the auctioneer falls the hammer on table but suddenly hammer brakes and damages the watch. Deepa wants to avoid the contract. Can she do so under the provisions of the Sale of Goods Act, 1930?
Suggested Answer and Working Notes:
(a) If the price of the goods would not have settled in cash and some amount would have been pending then Mr. G will be treated as an unpaid seller and he can enforce the following rights against the goods as well as against the buyer personally: (a) Where under a contract of sale, the property in the goods has passed to the buyer and the buyer wrongfully neglects or refuses to pay for the goods according to the terms of the contract, the seller may sue him for the price of the goods. [Section 55 (1) of the Sales of Goods Act,1930] (b) Where under a contract of sale the price is payable on a day certain irrespective of delivery and the buyer wrongfully neglects or refuses to pay such price, the seller may sue him for the price although the property in the goods has not passed and the goods have not been appropriated to the contract. [Section 55 (2) of the Sales of Goods Act,1930].
Topics: The Sale of Goods Act, 1930
Related Questions in this Topic
- Neeraj entered in a contract with Rahul to purchase 1000 litres of mustard oil at the price which should be fixed by Aak...
- Mr. Mukesh was running a shop selling good quality washing machines. Mr. Vivaan came to his shop and asked for washing m...
- Ritvik sold 500 bags of wheat to Anoj. Each bag contains 50 Kilograms of wheat. Ritvik sent 450 bags by road transport a...
- J, a wholesaler of premium Basmati rice delivered on approval 100 bags of rice of 10 kg each to a local retailer, on sal...
- "Delivery of goods is an essential aspect of a contract of sale." Discuss the statement. Explain the various kinds of de...