The Sale of Goods Act, 1930

--------------------------------------------------(Act no. 3 of 1930)

CONTENTS Sections
Preamble Chapter 1 1 3 Chapter ! ' ) + & % 9 10 11 1 13 1' 1) 1+ 1& Chapter 3 1% 19 0 1 3 ' ) + Preliminar Short Title, Extent and Commencement !efinition" A##lication of #ro$i"ion" of Act 9 of 1%& "ormation of the Contract Sale and a(reement to "ell Contract of "ale ho* made Exi"tin( or f,t,re (ood" -ood" #eri"hin( before ma.in( of contract -ood" #eri"hin( before "ale b,t after a(reement to "ell A"certainment of #rice A(reement to "ell at $al,ation Sti#,lation" a" to time Condition and *arrant/ 0hen condition to be treated a" *arrant/ 1m#lied ,nderta.in( a" to title, etc Sale b/ de"cri#tion 1m#lied condition" a" to 2,alit/ or fitne"" Sale b/ "am#le Effects of the Contract -ood" m,"t be a"certained Pro#ert/ #a""e" *hen intended to #a"" S#ecific (ood" in a deli$erable "tate S#ecific (ood" to be #,t into a deli$erable "tate S#ecific (ood" in a deli$erable "tate, *hen the "eller ha" to do an/thin( thereto in order to a"certain #rice Sale of ,na"certained (ood" and a##ro#riation. !eli$er/ to carrier -ood "ent on a##ro$al or 3on "ale or ret,rn3 4e"er$ation of ri(ht of di"#o"al 4i". #rima facie #a""e" *ith #ro#ert/

Particulars

& % 9 30 Chapter # 31 3 33 3' 3) 3+ 3& 3% 39 '0 '1 ' '3 '' Chapter $ ') '+ '& '% '9 )0 )1 ) )3 )' Chapter ' )) )+ )& )% )9 +0 +1

Sale b/ #er"on not to o*ner Sale b/ one of 5oint o*ner" Sale b/ #er"on in #o""e""ion ,nder $oidable contract Seller or b,/er in #o""e""ion after "ale Performance of the Contract !,tie" of "eller and b,/er Pa/ment and deli$er/ are conc,rrent condition" !eli$er/ Effect of #art deli$er/ 6,/er to a##l/ for deli$er/ 4,le" a" to deli$er/ !eli$er/ of *ron( 2,antit/ 1n"tallment deli$erie" !eli$er/ to carrier or *harfin(er 4i". *here (ood" are deli$ered at di"tant #lace 6,/er7" ri(ht of examinin( the (ood" Acce#tance 6,/er not bo,nd to ret,rn re5ected (ood" 8iabilit/ of b,/er for ne(lectin( or ref,"in( deli$er/ of (ood" %i&hts of unpaid seller a&ainst the &oods 39n#aid "eller3 defined Part deli$er/ Seller7" lien Part deli$er/ Termination of lien 4i(ht of "to##a(e in tran"it !,ration of tran"it :o* "to##a(e in tran"it i" effected Effect of ",b-"ale or #led(e b/ b,/er Sale not (enerall/ re"cinded b/ lien or "to##a(e in tran"it Suits for (reach of the Contract S,it for #rice !ama(e" for non-acce#tance !ama(e" for non-deli$er/ S#ecific #erformance 4emed/ for breach of *arrant/ 4e#,diation of contract before d,e date 1ntere"t b/ *a/ of dama(e" and "#ecial dama(e"

Chapter ) + +3 +' +'A +) ++

*iscellaneous Excl,"ion of im#lied term" and condition" 4ea"onable time a 2,e"tion of fact A,ction "ale 1n contract" of "ale, amo,nt of increa"ed or decrea"ed taxe" to be added or ded,cted 4e#eal Sa$in("

The Sale of Goods Act, 1930

Pream+le 3 of 1930 (1)th ;arch, 1930) An Act to define and amend the la* relatin( to the "ale of (ood". 0:E4EAS it i" ex#edient to define and amend the la* relatin( to the "ale of (ood", it i" hereb/ enacted a" follo*"< -

Chapter 1 , Preliminar
1- Short title, e.tent and commencement-, (1) Thi" Act ma/ be called the Sale of -ood" Act, 1930. ) 1t extend" to the *hole of 1ndia (exce#t the State of =amm, and >a"hmir). (3) 1t "hall come into force on the 1"t da/ of =,l/, 1930 !- /efinitions -, 1n thi" Act, ,nle"" there i" an/thin( re#,(nant in the ",b5ect of content(1) ?+u er3 mean" a #er"on *ho b,/" or a(ree" to b,/ (ood", ( ) 3deli0er 3 mean" $ol,ntar/ tran"fer of #o""e""ion from one #er"on to another 3- Applications of pro0isions of Act 9 of 111!-, The ,nre#ealed #ro$i"ion" of the 1ndian Contract Act, 1%& "a$e in"ofar a" the/ are incon"i"tent *ith the ex#re"" #ro$i"ion" of thi" Act, "hall contin,e to a##l/ to contract" for "ale of (ood".

Chapter ! , "ormation of the Contract

#- Sale and a&reement to sell-, (1) A contract of "ale of (ood" i" a contract *hereb/ the "eller tran"fer" or a(ree" to tran"fer the #ro#ert/ in (ood" to the b,/er for a #rice. There ma/ be a contract of "ale bet*een one #art-o*ner and another. ( ) A contract of "ale ma/ be ab"ol,te or conditional

(3) 0here ,nder a contract of "ale the #ro#ert/ in the (ood" in tran"ferred from the "eller to the b,/er, the contract i" called a "ale, b,t *here the tran"fer of the #ro#ert/ in the (ood" i" to ta.e #lace at a f,t,re time or ",b5ect to "ome condition thereafter to be f,lfilled, the contract i" called an a(reement to "ell. (') An a(reement to "ell become" a "ale *hen the time ela#"e" or the condition" are f,lfilled ",b5ect to *hich the #ro#ert/ in the (ood" i" to be tran"ferred. $- Contract of Sale ho2 made ,- (1) A contract of "ale i" made b/ an offer to b,/ or "ell (ood" for a #rice and the acce#tance of ",ch offer. The contract ma/ #ro$ide for the immediate deli$er/ of the (ood" or immediate #a/ment of the #rice or both, or for the deli$er/ or #a/ment b/ in"talment", or that the deli$er/ or #a/ment or both "hall be #o"t#oned. ( ) S,b5ect to the #ro$i"ion" of an/ la* for the time bein( in force, a contract of "ale ma/ be made in *ritin( or b/ *ord of mo,th, or #artl/ in *ritin( and #artl/ b/ *ord of mo,th or ma/ be im#lied from the cond,ct of the #artie". '- E.istin& or future &oods-, (1) The (ood" *hich form the ",b5ect of a contract of "ale ma/ be either exi"tin( (ood", o*ned or #o""e""ed b/ the "eller, or f,t,re (ood". ( ) There ma/ be a contract for the "ale of (ood" the ac2,i"ition of *hich b/ the "eller de#end" ,#on a contin(enc/ *hich ma/ or ma/ not ha##en. (3) 0here b/ a contract of "ale the "eller #,r#ort" to effect a #re"ent "ale of f,t,re (ood", the contract o#erate" a" an a(reement to "ell the (ood". )- Goods perishin& +efore ma3in& of contract-, 0here there i" a contract for the "ale of "#ecific (ood", the contract i" $oid if the (ood" *itho,t the .no*led(e of the "eller ha$e, at the time *hen the contract *a" made, #eri"hed or become "o dama(ed a" no lon(er to an"*er to their de"cri#tion in the contract. 1- Goods perishin& +efore sale +ut after a&reement to sell-, 0here there i" an a(reement to "ell "#ecific (ood", and ",b"e2,entl/ the (ood" *itho,t an/ fa,lt on the #art of the "eller or b,/er #eri"h or become "o dama(ed a" no lon(er to an"*er to their de"cri#tion in the a(reement before the ri". #a""e" to the b,/er, the a(reement i" thereb/ a$oided. 9- Ascertainment of price-, (1) The #rice in a contract of "ale ma/ be fixed b/ the contract or ma/ be left to be fixed in manner thereb/ a(reed or ma/ be determined b/ the co,r"e of dealin( bet*een the #artie".

( ) 0here the #rice i" not determined in accordance *ith the fore(oin( #ro$i"ion", the b,/er "hall #a/ the "eller a rea"onable #rice. 0hat i" a rea"onable #rice i" a 2,e"tion of fact de#endent on the circ,m"tance" of each #artic,lar ca"e. 10- A&reement to sell at 0aluation-, (1) 0here there i" an a(reement to "ell (ood" on the term" that the #rice i" to be fixed b/ the $al,ation of a third #art/ and ",ch third #art/ cannot or doe" not ma.e ",ch $al,ation, the a(reement i" thereb/ a$oided. Pro$ided that, if the (ood" or an/ #art thereof ha$e been deli$ered to, and a##ro#riated b/, the b,/er, he "hall #a/ a rea"onable #rice therefor. ( ) 0here ",ch third #art/ i" #re$ented from ma.in( the $al,ation b/ the fa,lt of the "eller or b,/er, the #art/ not in fa,lt ma/ maintain a ",it for dama(e" a(ain"t the #art/ in fa,lt. 11- Stipulations as to time-, 9nle"" a different intention a##ear" from the term" of the contract, "ti#,lation" a" to time of #a/ment are not deemed to be of the e""ence of a contract of "ale. 0hether an/ other "ti#,lation" a" to time i" of the e""ence of the contract or not de#end" on the term" of the contract. 1!- Condition and 2arrant -, (1) A "ti#,lation in a contract of "ale *ith reference to (ood" *hich are the ",b5ect thereof ma/ be a condition or a *arrant/. ( ) A condition i" a "ti#,lation e""ential to the main #,r#o"e of the contract, the breach of *hich (i$e" ri"e to ri(ht to treat the contract a" re#,diated. (3) A *arrant/ i" a "ti#,lation collateral to the main #,r#o"e of the contract, the breach of *hich (i$e" ri"e to a claim for dama(e" b,t not to a ri(ht to re5ect the (ood" and treat the contract a" re#,diated. (') 0hether a "ti#,lation in a contract of "ale i" condition or a *arrant/ de#end" in each ca"e on the con"tr,ction of the contract. A "ti#,lation ma/ be a condition, tho,(h called a *arrant/ in the 13- 4hen condition to +e treated as 2arrant -, (1) 0here a contract of "ale i" ",b5ect to an/ condition to the f,lfilled b/ the "eller, the b,/er ma/ *ai$e the condition or elect to treat the breach of the condition a" a breach of *arrant/ and not a" a (ro,nd for relatin( the contract a" re#,diated. ( ) 0here a contract of "ale i" not "e$erable and the b,/er ha" acce#ted the (ood" or #art thereof, the breach of an/ condition to be f,lfilled b/ the "eller can onl/ be treated a" a breach of *arrant/ and not a" a (ro,nd for re5ectin( the (ood" and treatin( the contract a" re#,diated, ,nle"" there i" a term of the contract, ex#re"" or im#lied, to that effect.

(3) @othin( in thi" "ection "hall affect the ca"e of an/ condition or *arrant/ f,lfilment of *hich i" exc,"ed b/ la* b/ rea"on of im#o""ibilit/ of other*i"e. 1#- 5mplied underta3in& as to tile, etc-, 1n a contract of "ale, ,nle"" the circ,m"tance" of the contract are ",ch a" to "ho* a different intention there i"(a) an im#lied condition on the #art of the "eller that, in the ca"e of a "ale, he ha" a ri(ht to "ell the (ood" and that, in the ca"e of an a(reement to "ell, he *ill ha$e a ri(ht to "ell the (ood" at the time *hen the #ro#ert/ i" to #a"". (b) an im#lied *arrant/ that the b,/er "hall ha$e and en5o/ 2,iet #o""e""ion of the (ood". (c) an im#lied *arrant/ that the (ood" "hall be free from an/ char(e or enc,mbrance in fa$o,r of an/ third #art/ not declared or .no*n to the b,/er before or at the time *hen the contract i" made. 1$- Sale + description-, 0here there i" a contract for the "ale of (ood" b/ de"cri#tion, there i" an im#lied condition that the (ood" "hall corre"#ond *ith the de"cri#tion, and, if the "ale i" b/ "am#le a" *ell a" b/ de"cri#tion, it i" not ",fficient that the b,l. of the (ood" corre"#ond" *ith the "am#le if the (ood" do not al"o corre"#ond *ith the de"cri#tion. 1'- 5mplied condition as to 6ualit or fitness-, S,b5ect to the #ro$i"ion" of thi" Act and of an/ other la* for the time bein( in force, there i" no im#lied *arrant/ or condition a" to the 2,alit/ or fitne"" for an/ #artic,lar #,r#o"e of (ood" ",##lied ,nder a contract of "ale, exce#t" a" follo*"<(1) 0here the b,/er, ex#re""l/ or b/ im#lication, ma.e" .no*n to the "eller the #artic,lar #,r#o"e for *hich the (ood" are re2,ired, "o a" to "ho* that the b,/er relie" on the "ellerA" ".ill or 5,d(ement, and the (ood" are of a de"cri#tion *hich it i" in the co,r"e of the "ellerA" b,"ine"" to ",##l/ (*hether he i" the man,fact,rer or #rod,cer or not), there i" an im#lied condition that the (ood" "hall be rea"onabl/ fit for ",ch #,r#o"e. Pro$ided that, in the ca"e of a contract for the "ale of a "#ecified article ,nder it" #atent or other trade name, there i" no im#lied condition" to it" fitne"" for an/ #artic,lar #,r#o"e. ( ) 0here (ood" are bo,(ht b/ de"cri#tion from a "eller *ho deal" in (ood" of that de"cri#tion (*hether he i" the man,fact,rer or #rod,cer or not), there i" an im#lied condition that the (ood" "hall be of merchantable 2,alit/. Pro$ided that, if the b,/er ha" examined the (ood", there "hall be no im#lied condition" a" re(ard" defect" *hich ",ch examination o,(ht to ha$e re$ealed.

(3) An im#lied *arrant/ or condition a" to 2,alit/ or fitne"" for a #artic,lar #,r#o"e ma/ be annexed b/ the ,"a(e of trade. (') An ex#re"" *arrant/ or condition" doe" not ne(ati$e a *arrant/ or condition im#lied b/ thi" Act ,nle"" incon"i"tent there*ith. 1)- Sale + sample-, (1) A contract of "ale i" a contract for "ale b/ "am#le *here there i" a term in the contract, ex#re"" or im#lied, to that effect. ( ) 1n the ca"e of a contract for "ale b/ "am#le there i" an im#lied condition (a) that the b,l. "hall corre"#onded *ith the "am#le in 2,alit/. (b) that the "hall ha$e a rea"onable o##ort,nit/ of com#arin( the b,l. *ith the "am#le. (c) that the (ood" "hall be free from an/ defect, renderin( them ,n-merchantable, *hich *o,ld not be a##arent on rea"onable examination of the

Chapter 3 , Effects of the Contract

11- Goods must +e ascertained-, 0here there i" a contract for the "ale of ,na"certained (ood", no #ro#ert/ in the (ood" i" tran"ferred to the b,/er ,nle"" and ,ntil the (ood" are "anctioned. 19- Propert passes 2hen intended to pass-, (1) 0here there i" a contract for the "ale of "#ecific or a"certained (ood" the #ro#ert/ in them i" tran"ferred to the b,/er at ",ch time a" the #artie" to the contract intend it to be tran"ferred. ( ) Bor the #,r#o"e of a"certainin( the intention of the #artie" re(ard "hall be had to the term" of the contract, the cond,ct of the #artie" and the circ,m"tance" of the ca"e. (3) 9nle"" a different intention a##ear", the r,le" contained in Section 0 to ' are r,le" for a"certainin( the intention of the #artie" a" to the time at *hich the #ro#ert/ in the (ood" i" to #a"" to the b,/er. !0- Specific &oods in a deli0era+le state-, 0here there i" an ,nconditional contract for the "ale of "#ecific (ood" in a deli$erable "tate, the #ro#ert/ in the (ood" #a""e" to the b,/er *hen the contract i" made, and it i" immaterial *hether the time of #a/ment of the #rice or the time of deli$er/ of the (ood", or both, i" #o"t#oned.

!1- Specific &oods to +e put into a deli0era+le state-, 0here there i" a contract for the "ale of "#ecific (ood" and the "eller i" bo,nd to do "omethin( to the (ood" for the #,r#o"e of #,ttin( them into a deli$erable "tate, the #ro#ert/ doe" not #a"" ,ntil ",ch thin( i" done and the b,/er ha" notice thereof. !!- Specific &oods in a deli0era+le state, 2hen the seller has to do an thin& thereto in order to ascertain price-, 0here there i" a contract for the "ale of "#ecific (ood" in a deli$erable "tate, b,t the "eller i" bo,nd to *ei(h, mea",re, te"t or do "ome other act or thin( *ith reference to the (ood" for the #,r#o"e of a"certainin( the #rice, the #ro#ert/ doe" not #a"" ,ntil ",ch act or thin( i" done and the b,/er ha" notice thereof. !3- Sale of unascertained &oods and appropriation-, (1) 0here there i" a contract for the "ale of ,na"certained or f,t,re (ood" b/ de"cri#tion and (ood" of that de"cri#tion and in a deli$erable "tate are ,nconditionall/ a##ro#riated to the contract, either b/ the "eller *ith the a""ent of the b,/er or b/ the b,/er *ith the a""ent of the "eller, the #ro#ert/ in the (ood" there,#on #a""e" to the b,/er. S,ch a""ent ma/ be ex#re""ed or im#lied, and ma/ be (i$en either before or after the a##ro#riation i" made. ( ) !eli$er/ to carrier.- 0here, in #,r",ance of the contract, the "eller deli$er" the (ood" !#- Goods sect on appro0al or 7on sale or return8, *hen (ood" are deli$ered to the b,/er on a##ro$al or on "ale or ret,rn or other "imilar term", the #ro#ert/ therein #a""e" to the b,/er(a) *hen he "i(nifie" hi" a##ro$al or acce#tance to the "eller to doe" not other act ado#tin( the tran"action. (b) if he doe" not "i(nif/ hi" a##ro$al or acce#tance to the "eller b,t retain" the (od" *itho,t (i$in( notice of re5ection, then, if a time ha" been fixed for the ret,rn of the (ood", on the ex#iration of ",ch time, and, if not time ha" been fixed, on the ex#iration of a rea"onable time. !$- %eser0ation of ri&ht of disposal-, (1) 0here there i" a contract for the "ale of "#ecific (ood" or *here (ood" are ",b"e2,entl/ a##ro#riated to the contract, the "eller ma/, b/ the term" of the contract or a##ro#riation, re"er$e the ri(ht of di"#o"al of the (ood" ,ntil certain condition" are f,lfilled. 1n ",ch ca"e, not*ith"tandin( the deli$er/ of the (ood" to a b,/er, or to a carrier or other bailee for the #,r#o"e of tran"mi""ion to the b,/er, the #ro#ert/ in the (ood" doe" not #a"" to the b,/er ,ntil the condition" im#o"ed b/ the "eller are f,lfilled. ( ) 0here (ood" are "hi##ed or deli$ered to a rail*a/ admini"tration for carria(e b/ rail*a/ and b/ the bill of landin( or rail*a/ recei#t, a" the ca"e ma/ be, the (ood" are deli$erable to the order of the "eller or hi" a(ent, the "eller i" #rima facie deemed to re"er$e the ri(ht of di"#o"al.

(3) 0here the "eller of (ood" dra*" on the b,/er for the #rice and tran"mit" to the b,/er the bill of exchan(e to(ether *ith the bill of ladin( or, a" the ma/ be, the rail*a/ recei#t, to "ec,re acce#tance to #a/ment of the bill of exchan(e, the b,/er i" bo,nd to ret,rn the bill of ladin( or the rail*a/ recei#t if he doe" not hono,r the bill of exchan(e, and, if he *ron(f,ll/ retain" the bill of ladin( or the rail*a/ recei#t, the #ro#ert/ in the (ood" doe" not #a"" to him. E.planation-, 1n thi" "ection, the ex#re""ion 3%ail2a 3 and 3%ail2a administration3 "hall ha$e the meanin(" re"#ecti$el/ a""i(ned to them ,nder the 1ndian 4ail*a/" Act, 1%90. !'- %is3 Prima facie passes 2ith propert -, 9nle"" other*i"e a(reed, the (ood" remain at the "ellerA" ri". ,ntil the #ro#ert/ therein i" tran"ferred to the b,/er, b,t *hen the #ro#ert/ therein i" tran"ferred to the b,/er, the (ood" are at the b,/erA" ri". *hether deli$er/ ha" been made or not. Pro$ided that, *here deli$er ha" been dela/ed thro,(h the fa,lt of either b,/er or "eller, the (ood" are at the ri". of the #art/ in fa,lt a" re(ard" an/ lo"" *hich mi(ht not ha$e occ,rred b,t for ",ch fa,lt. Pro$ide" al"o that nothin( in thi" "ection "hall affect the d,tie" or liabilitie" of either "eller or b,/er a" a bailee of the (ood" of the other #art/. !)- Sale + person not the o2ner-, S,b5ect to the #ro$i"ion" of thi" Act and of an/ other la* for the time bein( in force, *here (ood" are "old b/ a #er"on *ho i" not the o*ner thereof and *ho doe" not "ell them ,nder the a,thorit/ or *ith the con"ent of the o*ner, the b,/er ac2,ire" no better title to the (ood" than the "eller had, ,nle"" the o*ner of the (ood" i" b/ cond,ct #recl,ded from den/in( the "ellerA" a,thorit/ to "ell. Pro$ided that, *here a mercantile a(ent i", *ith the con"ent of the o*ner, in #o""e""ion of the (ood" or of a doc,ment of title to the (ood", an/ "ale made b/ him, *hen actin( in the ordinar/ co,r"e of b,"ine"" of a mercantile a(ent, "hall be a" $alid a" if he *ere ex#re""l/ a,thori"ed b/ the o*ner of the (ood" to ma.e the "ame, #ro$ided that the b,/er act i" (ood faith and ha" not at the time of the contract of "ale notice that the "eller ha" not a,thorit/ to "ell. !1- Sale + one of 9oint o2ners-, 1f one of "e$eral 5oint o*ner" of (ood" ha" the "ole #o""e""ion of them b/ #ermi""ion of the co-o*ner", the #ro#ert/ in the (ood" in tran"ferred to an/ #er"on ho* b,/" them of ",ch 5oint o*ner in (ood faith and ha" not at the time of the contract of "ale notice that the "eller ha" not a,thorit/ to "ell. !9- Sale + person in possession under 0oida+le contract-, 0hen the "eller of (od" ha" obtained #o""e""ion thereof ,nder a contract $oidable ,nder Section 19 or Section 19A of the 1ndian Contract Act, 1%& , b,t the contract ha" not re"cinded at the time of the "ale, the b,/er ac2,ire" a (od title to the (ood", #ro$ided he b,/" them in (ood faith and *itho,t notice of the "ellerA" defect of title.

30- Seller or +u er in possession after sale-, (1) 0here a #er"on, ha$in( "old (ood", contin,e" or i" in #o""e""ion of the (ood" or of the doc,ment" of title to the (ood", the deli$er/ or tran"fer b/ that #er"on or b/ a mercantile a(ent actin( for him of the (od" or doc,ment" of title ,nder an/ "ale, #led(e o other di"#o"ition thereof to an/ #er"on recei$in( the "ame in (ood faith and *itho,t notice of the #re$io," "ale "hall ha$e the "ame effect a" if the #er"on ma.in( the deli$er/ to tran"fer *ere ex#re""l/ a,thori"ed b/ the o*ner of the (od" to ma.e the "ame. ( ) 0here a #er"on, ha$in( bo,(ht or a(reed to b,/ (ood", obtain" *ith the con"ent of the "eller, #o""e""ion of the (ood" or the doc,ment" of title to the (ood", the deli$er/ or tran"fer b/ that #er"on or b/ a mercantile a(ent actin( for him, of the (ood" or doc,ment" of tile ,nder an/ "ale, #led(e or other di"#o"ition thereof to an/ #er"on recei$in( the "ame in (ood faith and *itho,t notice of an/ lien or other ri(ht of the ori(inal "eller in re"#ect of the (od" "hall ha$e effect a" if ",ch lien or ri(ht did not exi"t.

Chapter # , Performance of the Contract

31- /uties of seller and +u er-, 1t i" the d,t/ of the "eller to deli$er the (ood" and of the b,/er to acce#t and #a/ for them, in accordance *ith the term" of the contract of "ale. 3!- Pa ment and deli0er are concurrent conditions-, 9nle"" other*i"e a(reed, deli$er/ of the (od" and #a/ment of the #rice are conc,rrent condition", that i" to "a/, the "eller "hall be read/ and *illin( to (i$e #o""e""ion of the (ood" to the b,/er in exchan(e for the #rice, and the b,/er "hall be read/ and *illin( to #a/ the #rice in exchan(e for #o""e""ion of the (ood". 33- /eli0er -, !eli$er/ of (ood" "old ma/ be made b/ doin( an/thin( *hich the #artie" a(ree "hall be treated a" deli$er/ or *hich ha" the effect of #,ttin( the (ood" in the #o""e""ion of the b,/er or of an/ #er"on a,thori"ed to hold them on hi" behalf. 3#- Effect of part deli0er -, A deli$er/ of #art of (ood", in #ro(re"" of the deli$er/ of the *hole ha" the "ame effect, for the #,r#o"e of #a""in( the #ro#ert/ in ",ch (ood", a" a deli$er/ of the *hole, b,t a deli$er/ of #art of the (od", *ith an intention of "e$erin( it from the *hole, doe" not o#erate a" a deli$er/ of the remainder. 3$- (u er to appl for deli0er -, A#art from an/ ex#re"" contract, the "eller of (ood" in not bo,nd to deli$er them ,ntil the b,/er a##lie" for deli$er/.

3'- %ules as to deli0er -, (1) 0hether it i" for the b,/er to ta.e #o""e""ion of the (ood" or for the "eller to "end them to the b,/er i" a 2,e"tion de#endin( in each ca"e on the contract, ex#re"" or im#lied, bet*een the #artie". A#art from an/ ",ch contract, (ood" "old are to be deli$ered at the #lace at *hich the/ are the time of the "ale, and (ood" a(reed to be "old are to be deli$ered at the #lace at *hich the/ are at the time of the a(reement to "ell, if not then in exi"tence, at the #lace at *hich the/ are man,fact,red or #rod,ced. ( ) 0here ,nder the contract of "ale the "eller i" bo,nd to "end the (ood" to the b,/er, b,t no time for "endin( them i" fixed, the "eller i" bo,nd to "end them *ithin a rea"onable time. (3) 0here the (ood" at the time of "ale are in the #o""e""ion of a third #er"on, there i" no deli$er/ b/ "eller to b,/er ,nle"" and ,ntil ",ch third #er"on ac.no*led(e" to the b,/er that he hold" the (ood" on hi" behalf. Pro$ided that nothin( in thi" "ection "hall affect the o#eration of the i"",e or tran"fer of an/ doc,ment of title to (ood". (') !emand or tender of deli$er/ ma/ be treated a" ineffect,al ,nle"" made at a rea"onable ho,r. 0hat i" a rea"onable ho,r i" a 2,e"tion of fact. ()) 9nle"" other*i"e a(reed, the ex#en"e of and incidental to #,ttin( the (ood" into a deli$erable "tate "hall be borne b/ the "eller. 3)- /eli0er of 2ron& 6uantit -, (1) 0here the "eller deli$er" to the b,/er a 2,antit/ of (ood le"" than he contracted to "ell, the b,/er ma/ re5ect them, b,t if the b,/er acce#t" the (ood" "o deli$ered he "hall #a/ for them at the contract rate. ( ) 0here the "eller deli$er" to the b,/er a 2,antit/ of (ood" lar(er than he contracted to "ell the b,/er ma/ acce#t the (ood" incl,ded in the contact and re5ect the re"t, or he ma/ re5ect the *hole. 1f the b,/er acce#t" the *hole of the (ood" "o deli$ered, he "hall #a/ for them at the contract rate. (3) 0here the "eller deli$er" to the b,/er the (od" he contract to "ell mixed *ith (ood" of a different de"cri#tion not incl,ded in the contract., the b,/er ma/ acce#t the (ood" *hich are in accordance *ith the contract and re5ect the re"t, or ma/ re5ect the *hole. (') The #ro$i"ion" of thi" "ection are ",b5ect to an/ ,"a(e of trade, "#ecial a(reement or co,r"e of dealin( bet*een the #artie".

31- 5nstallment deli0eries-, (1) 9nle"" other*i"e a(reed, the b,/er of (ood" i" not bo,nd to acce#t deli$er/ thereof b/ in"talment". ( ) 0here there i" a contract for the "ale of (ood" to be deli$ered b/ "tated in"talment" *hich are to be "e#aratel/ #aid for, and the "eller ma.e" no deli$er/ or defecti$e deli$er/ in re"#ect of one or more in"talment", or the b,/er ne(lect" or ref,"e" to ta.e deli$er/ of or #a/ for one or more in"talment", it i" a 2,e"tion in each ca"ed de#endin( on the term" of the contract and the circ,m"tance" of the ca"e, *hether the breach of contract i" a re#,diation of the *hole contract, or *hether it i" a "e$erable breach (i$in( ri"e to a claim for com#en"ation, b,t not a ri(ht to treat the *hole contract a" re#,diated. 39- /eli0er to carrier or 2harfin&er-, (1) 0here, in #,r",ance of a contract of "ale, the "eller i" a,thori"ed or re2,ired to "end the (ood" to he b,/er, deli$er/ of the (ood" to a carrier, *hether named b/ the b,/er or not, for the #,r#o"e of tran"mi""ion to the b,/er, or deli$er/ of the (ood" to a *harfin(er for "afe c,"tod/, i" #rima facie deemed to be a deli$er/ of the (ood" to the b,/er. ( ) 9nle"" other*i"e a,thori"ed b/ the b,/er, the "eller "hall ma.e" ",ch contract *ith the carrier or *harfin(er on behalf of the b,/er a" ma/ be rea"onable ha$in( re(ard to the nat,re of the (ood" and the other circ,m"tance" of the ca"e. 1f the "eller omit" "o to do, and the (ood" are lo"t or dama(ed in co,r"e of tran"it or *hil"t in the c,"tod/ of the *harfin(er, the b,/er made decline to treat the deli$er/ to the carrier or *harfin(er a" a deli$er/ to him"elf, or ma/ hold the "eller re"#on"ible in dama(e". (3) 9nle"" other*i"e a(reed, *here (ood" are "ent b/ the "eller to the b,/er b/ a ro,te in$ol$in( "ea tran"it, in circ,m"tance" in *hich it i" ,",al to in",re, the "eller "hall (i$e ",ch notice to the b,/er a" ma/ enable him to in",re them d,rin( their "ea tran"it and if the "eller fail" "o to do, the (ood" "hall be deemed to be at hi" ri". d,rin( ",ch "ea tran"it. #0- %is3 2here &oods are deli0ered at distant place-, 0here the "eller of (ood" a(ree" to deli$er them at hi" o*n ri". at #lace other than that *here the/ are *hen "old, the b,/er "hall, ne$erthele"", ,nle"" other*i"e a(reed, ta.e an/ ri". of deterioration in the (ood" nece""aril/ incident to the co,r"e of tran"it. #1- (u er8s ri&ht of e.aminin& the &oods-, (1) 0here (ood" are deli$ered to the b,/er *hich he ha" not #re$io,"l/ examined, he i" not deemed to ha$e acce#ted them ,nle"" and ,ntil he ha" a rea"onable o##ort,nit/ of examinin( them for the #,r#o"e of a"certainin( *hether the/ are in conformit/ *ith the contract. ( ) 9nle"" other*i"e a(reed, *hen the "eller tender" deli$er/ of (ood" to the b,/er, he i" bo,nd, on re2,e"t, on re2,e"t, to afford the b,/er a rea"onable o##ort,nit/ of examinin( the (ood" for the #,r#o"e of a"certainin( *hether the/ are in conformit/ *ith the contract,

#!- (u er not +ound to return re9ected &oods-, 9nle"" other*i"e a(reed, *here (ood" are deli$ered to the b,/er and he ref,"e" to acce#t them, ha$in( the ri(ht "o to do, he i" not bo,nd to ret,rn them to the "eller, b,t it i" ",fficient it he intimate" to the "eller that he ref,"e" to acce#t them. #3- (u er not +ound to return re9ected &oods-, 9nle"" other*i"e a(reed, *here (ood" are deli$ered to the b,/er and he ref,"e" to acce#t them, ha$in( the ri(ht "o to do, he i" not bo,nd to ret,rn them to the "eller, b,t it i" he intimate" to the "eller that he intimate" to the "eller that he ref,"e" to acce#t them. ##- :ia+ilit of +u er for ne&lectin& or refusin& deli0er of &oods-, 0hen the "eller i" read/ and *illin( to deli$er the (ood" and re2,e"t" the b,/er to ta.e deli$er/, and the b,/er doe" not *ithin a rea"onable time after ",ch re2,e"t ta.e deli$er/ of the (ood" , he i" liable to the "eller for an/ lo"" occa"ioned b/ hi" ne(lect or ref,"al to ta.e deli$er/ and al"o for a rea"onable char(e for the care and c,"tod/ of the (ood". Pro$ided that nothin( in thi" "ection "hall affect the ri(ht" of the "eller *here the ne(lect or ref,"al of the b,/er to ta.e deli$er/ amo,nt" to a re#,diation of the contract.

Chapter $ , %i&hts of unpaid seller a&ainst the &oods

#$- ;<npaid seller; defined-, (1) The "eller of (ood" i" deemed to be an 3,n#aid "eller3 *ithin the meanin( of thi" Act(a) 0hen the *hole of the #rice ha" not been #aid or tendered. (b) 0hen a bill of exchan(e or other ne(otiable in"tr,ment ha" been recei$ed a" conditional #a/ment, and the condition" on *hich it *a" recei$ed ha" not been f,lfilled b/ rea"on of the di"hono,r of the in"tr,ment or other*i"e. ( ) 1n thi" Cha#ter, the term 3"eller3 incl,de" an/ #er"on *ho i" in the #o"ition of a "eller, a", for in"tance, an a(ent of the "eller to *hom the bill of ladin( ha" been endor"ed, or a con"i(nor or a(ent *ho ha" him"elf #aid, or i" directl/ re"#on"ible for, the #rice. #'- <npaid seller8s ri&hts-, (1) S,b5ect to the #ro$i"ion" of thi" Act and of an/ la* for the for the time bein( in force, not*ith"tandin( that the #ro#ert/ in the (ood" ma/ ha$e #a""ed to the b,/er, the ,n#aid "eller of (ood", a" ",ch, ha" b/ im#lication of la*. (a) a lien on the (ood" for the #eriod *hile he i" in #o""e""ion of them,

(b) in ca"e of the in"ol$enc/ of the b,/er a ri(ht of "to##in( the (ood" in tran"it after he ha" #arted *ith the #o""e""ion of them. (c) a ri(ht of re-"ale a" limited b/ thi" Act. ( ) 0here the #ro#ert/ in (ood" ha" not #a""ed to the b,/er, the ,n#aid "eller ha", in addition to hi" other remedie", a ri(ht of *ithholdin( deli$er/ "imilar to and co-exten"i$e *ith hi" ri(ht" of lien and "to##a(e in tran"it *here the #ro#ert/ ha" #a""ed to the b,/er. #)- Seller8s lien-, (1) S,b5ect to the #ro$i"ion" of thi" Act, the ,n#aid "eller of (ood" *ho i" in #o""e""ion of them i" entitled to retain #o""e""ion of them ,ntil #a/ment or tender of the #rice in the follo*in( ca"e", namel/ <(a) *here the (ood" ha$e been "old *itho,t an/ "ti#,lation" a" to credit. (b) *here the (ood" ha$e been "old on credit, b,t the term of credit ha" ex#ired. (c) *here the b,/er become" in"ol$ent. ( ) The "eller ma/ exerci"e hi" ri(ht of lien not*ith"tandin( that he in #o""e""ion of the (ood" a" a(ent or bailee for the b,/er. #1- Part deli0er -, 0here an ,n#aid "eller ha" made #art deli$er/ of the (ood", he ma/ exerci"e hi" ri(ht of lien on the remainder, ,nle"" ",ch #art deli$er/ ha" been made ,nder ",ch circ,m"tance" a" to "ho* an a(reement to *ai$e the lien. #9- Termination of lien-, (1) The ,n#aid "eller of (ood" lo""e" hi" lien thereon (a) *hen he deli$er" the (ood" to a carrier or other bailee for the #,r#o"e of tran"mi""ion to the b,/er *itho,t re"er$in( the ri(ht of di"#o"al of the (ood". (b) *hen the b,/er or hi" a(ent la*f,ll/ obtain" #o""e""ion of the (ood", (c) b/ *ai$er thereof. ( ) The ,n#aid "eller of (ood", ha$in( a lien thereon, not lo"e hi" lien b/ rea"on onl/ that he ha" obtained a decree for the #rice of the (ood".

$0- %i&ht of stoppa&e in transit-, S,b5ect to the #ro$i"ion" of thi" Act, *hen the b,/er of (ood" become" in"ol$ent, the ,n#aid "eller *ho ha" #arted *ith the #o""e""ion of the (ood" ha" the ri(ht of "to##in( them in tran"it, that i" to "a/, he ma/ re",me #o""e""ion of the (ood" a" lon( a" the/ are in the co,r"e of tran"it, and ma/ retain them ,ntil #a/ment or tender of the #rice. $1- /uration of transit-, (1) -ood" are deemed to be in co,r"e of tran"it from the time *hen the/ are deli$ered to a carrier or other bailee for the #,r#o"e of tran"mi""ion to the b,/er, ,ntil the b,/er or hi" a(ent in that behalf ta.e" deli$er/ of them from ",ch carrier or other bailee. ( ) 1f the b,/er or hi" a(ent in that behalf obtain" deli$er/ of the (ood" before their arri$al at the a##ointed de"tination, the tran"it i" at an end. (3) 1f, after the arri$al of the (ood" at the a##ointed de"tination, the carrier or other bailee ac.no*led(e" to the b,/er or hi" a(ent that he hold" the (ood" on hi" behalf and contin,e" in #o""e""ion of them a" bailee for the b,/er or hi" a(ent, the tran"it i" at an end and it i" immaterial that a f,rther de"tination for the (ood" ma/ ha$e been indicated b/ the b,/er. (') 1f the (ood" are re5ected b/ the b,/er and the carrier or other bailee contin,e" in #o""e""ion of them, the tran"it i" not deemed to be at an end, e$en if the "eller ha" ref,"ed to recei$e them bac.. ()) 0hen (ood" are deli$ered to a "hi# chartered b/ the b,/er, it i" a 2,e"tion de#endin( on the circ,m"tance" of the #artic,lar ca"e, *hether the/ are in the #o""e""ion of the ma"ter a" a carrier or a" a(ent of the b,/er. (+) 0here the carrier or other bailee *ron(f,ll/ ref,"e" to deli$er the (ood" to the b,/er or hi" a(ent in that behalf, the tran"it i" deemed to be at an end. (&) 0here #art deli$er/ of the (ood" ha" been made to the b,/er or hi" a(ent in that behalf, the remainder of the (ood" ma/ be "to##ed in tran"it, ,nle"" ",ch #art deli$er/ ha" been (i$en in ",ch circ,m"tance" a" to "ho* an a(reement to (i$e ,# #o""e""ion of the *hole of the (ood". $!- =o2 stoppa&e in transit is effected-, (1) The ,n#aid "eller ma/ exerci"e hi" ri(ht to "to##a(e in tran"it either b/ ta.in( act,al #o""e""ion of the (ood", or b/ (i$in( notice of hi" claim to the carrier or other bailee in *ho"e #o""e""ion the (ood" are. S,ch notice ma/ be (i$en either to the #er"on in act,al #o""e""ion of the (ood" or to hi" #rinci#al. 1n the later ca"e the notice, to be effect,al, "hall be (i$en at ",ch time and in ",ch circ,m"tance", that the #rinci#al, b/ the exerci"e of rea"onable dili(ence, ma/ comm,nicate i" to hi" "er$ant or a(ent in time to #re$ent a deli$er/ to the b,/er. ( ) 0hether notice of "to##a(e in tran"it i" (i$en b/ the "eller to the carrier or other bailee in #o""e""ion of the (ood", he "hall re-deli$er the (ood" to, or accordin( to the direction" of, the "eller. The ex#en"e" of ",ch re-deli$er/ "hall be borne b/ the "eller.

$3- Effect to su+,sale or pled&e + +u er-, (1) S,b5ect to the #ro$i"ion" of thi" Act, the ,n#aid "ellerA" ri(ht of lien or "to##a(e in tran"it i" not affected b/ an/ "ale or other di"#o"ition of the (od" *hich the b,/er ma/ ha$e made, ,nle"" the "eller ha" a""ented thereto. Pro$ided that *here a doc,ment of title to (ood" ha" been i"",ed or la*f,ll/ tran"ferred to an/ #er"on a" b,/er or o*ner of the (ood", and that #er"on tran"fer" the doc,ment to a #er"on *ho ta.e" the doc,ment in (ood faith and for con"ideration, then, if ",ch la"t mentioned tran"fer *a" b/ *a/ of "ale, the ,n#aid "ellerA" ri(ht of lien of "to##a(e in tran"it i" defeated, and, if ",ch la"t mentioned tran"fer *a" b/ *a/ of #led(e or other di"#o"ition for $al,e, the ,n#aid "ellerA" ri(ht of lien or "to##a(e in tran"it can onl/ be exerci"ed ",b5ect to the ri(ht" of the tran"feree. ( ) 0here the tran"fer i" b/ *a/ of #led(e, the ,n#aid "eller ma/ re2,ire the #led(e to ha$e the amo,nt "ec,red b/ the #led(e "ati"fied in the fir"t in"tance, a" far a" #o""ible, o,t of an/ other (ood" or "ec,ritie" of the b,/er in the hand" of the #led(e and a$ailable a(ain"t the b,/er. $#- Sale not &enerall rescinded + lien or stoppa&e in transit-, (1) S,b5ect to the #ro$i"ion" of thi" "ection, a contract of "ale i" not re"cinded b/ the mere exerci"e b/ an ,n#aid "eller of hi" ri(ht of lien or "to##a(e in tran"it. ( ) 0here the (ood" are of a #eri"hable nat,re, or *here the ,n#aid "eller *ho ha" exerci"ed hi" ri(ht of lien or "to##a(e in tran"it (i$e" notice" to the b,/er of hi" intention" to re-"ell, the ,n#aid "eller ma/, if the b,/er doe" not *ithin a rea"onable time #a/ or tender the #rice, re-"ell the (ood" *ithin a rea"onable time and reco$er from the ori(inal b,/er dama(e" for an/ lo"" occa"ioned b/ hi" breach of contract, b,t the b,/er "hall not be entitled to an/ #rofit *hich ma/ occ,r on the re-"ale. 1f ",ch notice" i" not (i$en, the ,n#aid "eller "hall not be entitled to reco$er ",ch dama(e" and the b,/er "hall be entitled to the #rofit, if an/, on the re-"ale. (3) 0here an ,n#aid "eller *ho ha" exerci"ed hi" ri(ht of lien or "to##a(e in tran"it re-"ell" the (ood", the b,/er ac2,ire" a (ood title thereto a" a(ain"t the ori(inal b,/er, not*ith"tandin( that no notice of the re-"ale ha" been (i$en to the ori(inal b,/er. (') 0here the "eller ex#re""l/ re"er$e" a ri(ht of re-"ale in ca"e the b,/er "ho,ld ma.e defa,lt, and on, the b,/er ma.in( defa,lt, re-"ell" the (ood", the ori(inal contract of "ale i" thereb/ re"cinded, b,t *itho,t #re5,dice to an/ claim *hich the "eller ma/ ha$e for dama(e".

Chapter ' , Suits for (reach of the Contract

$$- Suit for price-, (1) 0here ,nder a contract of "ale the #ro#ert/ in the (ood" ha" #a""ed to the b,/er and the b,/er *ron(f,ll/ ne(lect" or ref,"e" to #a/ for the (ood" accordin( to the term" of the contract, the "eller ma/ ",e him for the #rice of the (ood".

( ) 0here ,nder a contract of "ale the #rice i" #a/able on a da/ certain irre"#ecti$e of deli$er/ and the b,/er *ron(f,ll/ ne(lect" or ref,"e" to #a/ ",ch #rice, the "eller ma/ ",e him for the #rice altho,(h the #ro#ert/ in the (ood" ha" not #a""ed and the (ood" ha$e not been a##ro#riated to the contract. $'- /ama&es for non,acceptance-, 0here the b,/er *ron(f,ll/ ne(lect" or ref,"e" to acce#t and #a/ for the (ood", the "eller ma/ ",e him for dama(e" for non-acce#tance. $)- /ama&es for non,deli0er -, 0here the "eller *ron(f,ll/ ne(lect" or ref,"e" to deli$er the (ood" to the b,/er, the b,/er ma/ ",e the "eller for dama(e" for non-deli$er/. $1- Specific performance-, S,b5ect to the #ro$i"ion" of Cha#ter 11 of the S#ecific 4elief Act, 1%&&, in an/ ",it for breach of contract to deli$er "#ecific or a"certained (ood", the Co,rt ma/, if it thin." fit, one the a##lication of the #laintiff, b/ it" decree direct that the contract "hall be #erformed "#ecificall/, *itho,t (i$in( the defendant the o#tion of retainin( the (ood" on #a/ment of dama(e". The decree ma/ be ,nconditional, or ,#on ",ch term" and condition" a" to dama(e", #a/ment of the #rice or other*i"e, a" the Co,rt ma/ deem 5,"t, and the a##lication of the #laintiff ma/ be made at an/ time before the decree. $9- %emed for +reach of 2arrant , (1) 0here there i" a breach of *arrant/ b/ the "eller, or *here the b,/er elect" or i" com#elled to treat an/ breach of a condition on the #art of the "eller a" a breach of *arrant/, the b,/er i" not b/ rea"on onl/ of ",ch breach of *arrant/ entitled to re5ect the (ood"C b,t he ma/(a) Set ,# a(ain"t the "eller the breach of *arrant/ in dimin,tion or extinction of the #riceC or (b) S,e the "eller for dama(e" for breach of *arrant/. ( ) The fact that a b,/er ha" "et ,# a breach of *arrant/ in dimin,tion or extinction of the #rice doe" not #re$ent him from ",in( for the "ame breach of *arrant/ if he ha" ",ffered f,rther dama(e. '0- %epudiation of contract +efore due date-, 0here either #art/ to a contract of "ale re#,diate" the contract before the date of deli$er/, the other ma/ either treat the contract" a" ",b"i"tin( and *ait till the date of deli$er/, or he ma/ treat the contract a" re"cinded and ,"e for dama(e" for the breach.

'1- 5nterest + 2a of dama&es and special dama&es-, (1) @othin( in thi" Act "hall affect the ri(ht of the "eller or the b,/er to reco$er intere"t or "#ecial dama(e" in an/ ca"e *hereb/ la* intere"t or "#ecial dama(e" ma/ be reco$erable, or to reco$er the mone/ #aid *here the con"ideration for the #a/ment of it ha" failed. ( ) 1n the ab"ence of a contract to the contrar/, the Co,rt ma/ a*ard intere"t at ",ch rate a it thin. fit one the amo,nt of the #rice(a) to the "eller in a ",it b/ him for the amo,nt of the #rice.- from the date of the tender of the (ood" or from the date on *hich the #rice *a" #a/able. (b) to the b,/er in a ",it b/ him for the ref,nd of the #rice in a ca"e of a breach of the contract on the #art of the "eller- from the date on *hich the #a/ment *a" made.

Chapter ) , *iscellaneous
'!- E.clusion of implied terms and conditions-, 0here an/ ri(ht, d,t/ or liabilit/ *o,ld ari"e ,nder a contract of "ale b/ im#lication of la*, it ma/ be ne(ati$ed or $arie" b/ ex#re"" a(reement or b/ the co,r"e of dealin( bet*een the ne(ati$e" or $aried b/ ex#re"" a(reement or b/ the co,r"e of dealin( bet*een the #artie", or b/ ,"a(e, if the ,"a(e i" ",ch a" to bind #artie" to the contract. '3- %easona+le time a 6uestion of fact-, 0here in thi" Act an/ reference i" made to a rea"onable time, the 2,e"tion *hat i" a rea"onable time i" a 2,e"tion of fact. '#- Auction sale-, 1n the ca"e of "ale b/ a,ction(1) *here (ood" are #,t ,# for "ale in lot", each lot i" #rima facie deemed to be the ",b5ect of a "e#arate contract of "ale. ( ) the "ale i" com#lete *hen the a,ctioneer anno,nce" it" com#letion b/ the fall of the hammer or in other c,"tomar/ manner, and, ,ntil ",ch anno,ncement i" made, an/ bidder ma/ retract hi" bid. (3) a ri(ht to bid ma/ be re"er$ed ex#re""l/ b/ or on behalf of the "eller and, *here ",ch ri(ht" i" ex#re""l/ "o re"er$ed, b,t not other*i"e, the "eller or an/ one #er"on on hi" behalf ma/, ",b5ect to the #ro$i"ion" hereinafter contained, bid at the a,ction, (') *here the "ale i" not notified to be ",b5ect to a ri(ht to bid on behalf of the "eller, it "hall not be la*f,l for the "eller to bid him"elf or to em#lo/ an/ #er"on to bid at ",ch "ale, or for the a,ctioneer .no*in(l/ to ta.e an/ bid from the "eller or an/ ",ch #er"on, and an/ ",ch #er"on, and an/ "ale contra$enin( thi" r,le ma/ be treated a" fra,d,lent b/ the b,/er.

()) the "ale ma/ be notified to be ",b5ect to a re"er$ed or ,#"et #rice. (+) if the "eller ma.e" ,"e of #retended biddin( to rai"e the #rice, the "ale i" $oidable at the o#tion of the b,/er. '#A- 5n contracts of sale, amount of increased or deceased to ta. to +e added or deducted-, (1) 9nle"" a different intention a##ear" from the term" of the contract, in the e$ent of an/ tax of the nat,re de"cribed in ",b-"ection ( ) bein( im#o"ed, increa"ed, decrea"ed or remitted in re"#ect of an/ (ood" after the ma.in( of an/ contract for the "ale or #,rcha"e of ",ch (ood" *itho,t "ti#,lation" a" to the #a/ment of tax *here tax *a" not char(eable at the time of the ma.in( of the contract, or for the "ale or #,rcha"e of ",ch (ood tax- #aid *here tax *a" char(eable at that time.(a) if ",ch im#o"ition or increa"e "o ta.e" effect that the tax or increa"ed tax, a" the ca"e ma/ be, or an/ #art of ",ch tax i" #aid or i" #a/able, the "eller ma/ add "o m,ch to the contract #rice a" *ill be e2,i$alent to the amo,nt #aid or #a/able in re"#ect of ",ch tax or increa"e of tax, and he "hall be entitled to be #aid and to ",e for and reco$er ",ch addition, and (b) if ",ch decrea"e or remi""ion "o ta.e" effect that the decrea"ed tax onl/, or no tax, a" the ca"e ma/ be, i" #aid or i" #a/able, the b,/er made ded,ct "o m,ch from the contract #rice a" *ill be e2,i$alent to the decrea"e of tax or remitted tax, and he "hall not be liable to #a/, or be ",ed for, or in re"#ect of, ",ch ded,ction. ( ) The #ro$i"ion" of ",b-"ection (1) a##l/ to the follo*in( taxe", namel/<(a) an/ d,t/ of c,"tom" or exci"e on (ood". (b) an/ tax on the "ale or #,rcha"e of (ood". '$- (4e#eal.) 4e#. 6/ the 4e#ealin( Act, 193% (1of 193%), S. and Sch.

''- Sa0in&s-, (1) @othin( in thi" Act or in an/ re#eal effected thereb/ "hall affect or be deemed to affect. (a) an/ ri(ht, title, intere"t, obli(ation" or liabilit/ alread/ ac2,ired, accr,ed or inc,rred before the commencement of thi" Act, or (b) an/ le(al #roceedin(" or remed/ in re"#ect of an/ ",ch ri(ht, title, intere"t, obli(ation or liabilit/, or (c) an/thin( done or ",ffered before the commencement of thi" Act, or

(d) an/ enactment relatin( to the "ale of (ood" *hich i" not ex#re""l/ re#ealed b/ thi" Act, or (e) an/ r,le of la* not incon"i"tent *ith thi" Act. ( ) The r,le" of in"ol$enc/ relatin( to contract" for the "ale of (ood" "hall contin,e to a##l/ thereto, not*ith"tandin( an/thin( contained in thi" Act. (3) The #ro$i"ion" of thi" Act relatin( to contract" of "ale do not a##l/ to an/ tran"action in the form of a contract of "ale *hich i" intended to o#erate b/ *a/ of mort(a(e, #led(e, char(e or other "ec,rit/.

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