"Explain the rules relating to the delivery of goods under the Sale of Goods Act, 1930” with reference to the following: (i) Effect of part delivery…

CA Foundation · Business Laws · MTP · April 2025
"Explain the rules relating to the delivery of goods under the Sale of Goods Act, 1930” with reference to the following: (i) Effect of part delivery (ii) Place of delivery (iii) Delivery of wrong quantity."

Suggested Answer and Working Notes:

(i) Effect of part delivery (Section 34 of the Sale of Goods Act,1930): A delivery of part of goods, in progress of the delivery of the whole has the same effect, for the purpose of passing the property in such goods, as a delivery of the whole; but a delivery of part of the goods, with an intention of severing it from the whole, does not operate as a delivery of the remainder. (ii) Place of delivery [Section 36 (1) ]: Whether it is for the buyer to take possession of the goods or for the seller to send them to the buyer is a question depending in each case on the contract, express or implied, between the parties. Apart from any such contract, goods sold are to be delivered at the place at which they are at the time of the sale, andgoods agreed to be sold are to be delivered at the place at which they are at the time of the agreement to sell orif goods are not then in existence, at the place at which they are manufactured or produced. (iii) Delivery of wrong quantity [Section 37]: Where the seller delivers to the buyer a quantity of goods less than he contracted to sell, the buyer may reject them, but if the buyer accepts the goods so delivered he shall pay for them at the contract rate. [Sub-section (1) ] Where the seller delivers to the buyer a quantity of goods larger than he contracted to sell, the buyer may accept the goods included in the contract and reject the rest, or he may reject the whole. If the buyer accepts the whole of the goods so delivered, he shall pay for them at the contract rate. [Sub-section (2) ] Where the seller delivers to the buyer the goods, he contracted to sell mixed with goods of a different description not included in the contract, the buyer may accept the goods which are in accordance with the contract and reject or may reject the whole. [Sub-section (3) ] The provisions of this section are subject to any usage of trade, special agreement or course of dealing between the parties. [Sub-section (4) ]

Topics: The Sale of Goods Act, 1930

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