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Sale of Goods Act

Sale of Goods Act

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Published by Nirmal

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Published by: Nirmal on Nov 12, 2009
Copyright:Attribution Non-commercial


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NB: Unofficial translation©Ministry of Justice
Sale of Goods Act
(355/1987)Chapter 1—
General provisions
Scope of application
Section 1(1)This Act applies to the sale of property other than real property (goods).(2)This Act applies, where applicable, also to barter.(3)This Act does not apply to the conveyance of a building or fixed installation or structure on the landof a third person if the lease of the land is simultaneously transferred.Section 2(1)This Act applies to a contract for the supply of goods to be manufactured or produced unless theparty who orders the goods undertakes to supply a substantial part of the materials needed for themanufacture or production. The Act does not apply to a contract for the construction of a building orother fixed installation or structure on land or in water.(2)This Act does not apply to a contract under which the party who furnishes the goods also undertakesto perform work or other services if the services constitute the preponderant part of the obligationsof that party.
Freedom of contract 
Section 3The provisions of this Act are subject to the terms of the contract between the parties, to anypractice which has been established between them and to any other usage which is to be consideredbinding on the parties. 
Consumer contracts
Section 4The provisions of this Act are subject to the provisions of the Consumer Protection Act (38/1978).
 International sales of goods
Section 5Certain international contracts for the sale of goods are governed by separate provisions.
Chapter 2—
Delivery of the goods
Sale of goods to be collected by buyer 
Section 6(1)The goods shall be placed at the buyer's disposal at the place where the seller had his place of business at the time of the conclusion of the contract or, if the seller did not have a place of businessthat had a relationship to the contract, at the seller's place of residence. If the parties, at the time of the conclusion of the contract, knew that the goods or the stock from which the goods were to bedrawn were at a particular place, the goods shall be placed at the buyer's disposal at that place.(2)The goods are delivered when they have been taken over by the buyer.
Sale involving carriage of goods
Section 7(1)If the contract involves carriage of the goods to the buyer within the same locality or within an areawhere the seller normally arranges for the carriage of similar goods, the goods are delivered whenthey are handed over to the buyer.(2)If, in cases not within paragraph (1), the contract involves carriage of the goods and unless a tradeterm or other term of the contract stipulates otherwise, the goods are delivered when they arehanded over to the carrier who has undertaken the carriage of the goods from the place of dispatch.If the seller himself undertakes the carriage of the goods, delivery does not take place until the goodsare handed over to the buyer.(3)If the goods have been sold "free at", "delivered to" or "delivered free at" a particular place, thegoods are not be considered delivered until they have arrived at that place.
* Finland has ratified the United Nations Convention on Contracts for the International Sale of Goods(1980), with the exception of Part II on the formation of the contract. Finland has made a declaration underarticle 94 of the Convention to the effect that the Convention does not apply to sales contracts where theparties have their places of business in Finland, Denmark, Iceland, Norway or Sweden.
3Section 8If the seller is bound to arrange for the carriage of the goods, he shall conclude contracts for theircarriage to the place of destination by an appropriate means of transportation and according to theusual terms for such transportation.
Time of delivery
Section 9(1)Unless the goods are to be delivered on demand or without delay or at some other time fixed by ordeterminable from the contract, they shall be delivered within a reasonable time after the conclusionof the contract.(2)If the goods are to be delivered within a fixed period of time and the circumstances do not indicatethat the buyer is to choose the time of delivery, it shall be chosen by the seller.(3)If the seller is to choose the time of delivery in a sale governed by section 6, he shall in due timeinform the buyer as to when the goods will be available for the buyer to collect.
 Right to withhold the goods
Section 10(1)Unless the seller has granted the buyer credit or a period of grace for the payment of the price, he isnot required to hand over the goods nor, by handing over documents or otherwise, to release hiscontrol over the goods until the price is paid.(2)If the seller has undertaken to dispatch the goods to a particular place, he may not, by virtue oparagraph (1), refrain from dispatching the goods, but he may prevent the goods or a documentrelating to the goods from being handed over to the buyer until the price is paid.
 Expenses relating to the goods
Section 11The seller is responsible for expenses relating to the goods that arise before delivery, to the extentthey are not caused by an act or omission of the buyer or any other reason attributable to the buyer.

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