CORPORATE LAW

Week 4

Sales of Goods Law
By Muhammad Naveed Chohan

Friday, March 04, 2011

Department of Management Sciences
1

2011 2 .Outline  Contract of Sales of Goods  Conditions and Warranties Friday. March 04.

4 (1) of Sales of Goods Act 1930] Essentials of a Contract of Sale :        Contract Two Parties Transfer of Property Goods Price Sale and Agreement to Sale Other Formalities Friday. 2011 3 . March 04.Contract of Sales of Goods What is Contract of Sale? ‘‘A contract whereby the seller transfers or agrees to transfers the property in goods to the buyer for price’’ [Sec.

grass and things attached to or forming part of the land which are agreed to be served before sale or under the contract of sale’’ [Sec. gas. 2011 . growing crops. stock and shares. 2 (7) of Sales of Goods Act 1930] Kinds of Goods:    Existing Goods • • Specific Goods Unspecified Goods Future Goods Contingent Goods 4 Friday.Contract of Sales of Goods Goods: ‘‘Goods means every kind of moveable property other than actionable claims and money. water. and includes electricity. March 04.

2 (10) of Sales of Goods Act 1930] Modes of Fixing the Price:     Parties Agreed Manner Course of Dealing Reasonable Price Friday. 2011 5 . March 04.Contract of Sales of Goods Price: ‘‘Price means the money consideration for a sale of goods’’ [Sec.

the breach of which gives the aggrieved party a right to repudiate the contract’’ [Sec. March 04. 12 (3) of Sales of Goods Act 1930] Friday. 12 (2) of Sales of Goods Act 1930] What is Warranty: ‘‘Warranty is a stipulation collateral to main purpose of the contract.Conditions and Warranties What is Condition: ‘‘Condition is a stipulation essential to the main purpose of the contract. the breach of which gives the aggrieved party a right to sue for damages. and not to avoid the contract’’ [Sec. 2011 6 .

March 04. 2011 7 .Conditions and Warranties Condition Treated as Warranty:   Option of buyer Acceptance of Goods by buyer Kinds of Conditions and Warranties:   Express Conditions and Warranties Implied Conditions and Warranties Friday.

March 04. 6. Implied Conditions Conditions as to Title Sale by Description Sale by Sample Sale by Sample as well as by Description Condition as to Fitness or Quality Condition as to Merchantability Condition by Custom Condition as to Wholesomeness (Beneficial for Health) Friday. 2011 8 .Conditions and Warranties  1. 5. 4. 8. 3. 7. 2.

March 04. 2011 9 . Ltd) Doctrine of Caveat Emptor: ‘‘It is for the buyer to satisfy himself that the goods which he is purchasing are of the quality which he requires or. Implied Warranties Quiet Possession (Mason Vs.Conditions and Warranties  1. if he is buying them for a specific purpose that the goods are fit for that purpose’’ Friday. 3. Burningham) Freedom from Encumbrances Usage of trade Discloser of Dangerous Goods (Clark Vs. 4. Army & Navy Coop. 2.

2011 10 . March 04.End of Week #4 Lecture Presentation Thanks for Patience Friday.

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