Sale

of
Goods
Act 1930
Subject matter of contract of sale:
Goods: Sec 2 (7), goods means
 Every kind of movable property
 Does not include actionable claim(claim for

debt) ,money(currency of country) and

immovable property
 Includes stock and shares, growing crops,

goodwill, water, gas, electricity

 Includes old rare coins- silver, gold, bronze coins
 Buyer:
 Seller
 Price
 Absolute sale
 Conditional sale (agreement to sell)
 JohnsonVs Macdonald
Contract of Sale of goods
Essentials
(a)Two parties (partnership firm )
--Exceptions
i) Execution of decree
ii) Sale by joint owners
iii)Sale by pawnee
iv)Sale in auction
(a)Transfer of general property
(b)Essential elements of a valid contract
(c)Goods: movable
(d)Price
Difference between Sale and agreement to sell
1. Meaning
2. Transfer of property
3. Nature of contract: executed, executory
4. Type of goods
5. Risk of loss: destruction of goods:
6. Consequences of breach by buyer:
7. Breach by seller
8. Insolvency of buyer/seller
9. Rights in REM & PERSONAM
10. Rights to re-sell
sale: seller sue buyer for price, damages
Agreement : only for damages
5. Right to re-sell by seller: not in case of
sale, can be in case aggrement, buyer can
sue for damages
6. Insolvency of buyer: sale: return goods to
liquadator, seller is entitled to receive only amt
unpaid. In agreement seller will not give good to
buyer
7. Insolvency of seller: Buyer can claim goods
from liquadator as he has ownership. In agreement
buyer can claim price paid not goods.
8. General and particular property: sale jus in rem,
agreement to sell jus in personam.
Classification of goods
1. Existing goods
(i) Specific goods: goods identified and agreed
upon
(ii)Ascertained goods
(iii)Unascertained goods: not identified
2. Future goods:
3. Contingent goods: crops sold
 THANK YOU

11