Law (Sale of Goods Act)
SALE OF GOODS
Ref: Sale of Goods Act, 1930.
SALE
A contract to transfer the ownership (title) of the goods from one person (seller) to another (buyer) for a price as consideration is called Sale.
ESSENTIALS OF A SALE
1. Two Parties 2. Transfer of title. 3. Goods. 4. Price.
AGREEMENT TO SELL
Where under a contract of sale the transfer of ownership in the goods is to take place at some future time subject to some condition thereafter to be fulfilled the transaction is said to be an agreement to sell.
DISTINCTIN BETWEEN SALE AND AGREEMENT TO SELL
SALE AGREEMENT TO SELL
|Ownership or title of property passes |Title in the goods passes at some certain future time or on |
|to the buyer immediately as the contract is executed. |fulfillment of some condition attached to the contract. |
|2. Risk of loss passes with the title even if the goods are in |Risk of loss rests with the seller even though the goods are in |
|the possession of the seller unless otherwise agreed. |the possession of the buyer. |
|3. A sale is an executed contract because the ownership passes to|An agreement to sell is an executory contract as the property in |
|the buyer from seller simultaneously. |goods has to pass in future. |
|4. Seller has no right to resell the goods even though they might|Seller can resell the goods and give a good title to new buyer; |
|be in his possession.(jus in rem) |original buyer can however sue for breach of contract. |
|5. In case buyer is adjudged as insolvent the goods are to be |The seller may refuse to deliver the goods to official receiver |
|delivered to the official receiver either by the seller or buyer.|unless paid for. |
|6. In case
Ref: Sale of Goods Act, 1930.
SALE
A contract to transfer the ownership (title) of the goods from one person (seller) to another (buyer) for a price as consideration is called Sale.
ESSENTIALS OF A SALE
1. Two Parties 2. Transfer of title. 3. Goods. 4. Price.
AGREEMENT TO SELL
Where under a contract of sale the transfer of ownership in the goods is to take place at some future time subject to some condition thereafter to be fulfilled the transaction is said to be an agreement to sell.
DISTINCTIN BETWEEN SALE AND AGREEMENT TO SELL
SALE AGREEMENT TO SELL
|Ownership or title of property passes |Title in the goods passes at some certain future time or on |
|to the buyer immediately as the contract is executed. |fulfillment of some condition attached to the contract. |
|2. Risk of loss passes with the title even if the goods are in |Risk of loss rests with the seller even though the goods are in |
|the possession of the seller unless otherwise agreed. |the possession of the buyer. |
|3. A sale is an executed contract because the ownership passes to|An agreement to sell is an executory contract as the property in |
|the buyer from seller simultaneously. |goods has to pass in future. |
|4. Seller has no right to resell the goods even though they might|Seller can resell the goods and give a good title to new buyer; |
|be in his possession.(jus in rem) |original buyer can however sue for breach of contract. |
|5. In case buyer is adjudged as insolvent the goods are to be |The seller may refuse to deliver the goods to official receiver |
|delivered to the official receiver either by the seller or buyer.|unless paid for. |
|6. In case