Performance of contract

2. • Seller & buyer are the two parties to a
contract of sale.
• The duty of seller is to deliver the goods &
the duty of the buyer is to accept the
goods & pay for them.

3.  ‘Delivery’ means voluntary transfer of
possession from one person to another.
 The basic elements of delivery are:
•
1. Two parties.
2. Person possess the goods.
3. He transfer possession to other.
4. It is a voluntary act of him.

4. • Physical or actual delivery: When the
seller transfers the possession of the
goods to the buyer or to a person
authorized to hold them on his behalf.
• Symbolic delivery – Where actual delivery
is not possible. Only the control over the
goods is transferred. Handing over the
keys of godown or warehouse.

5. 1. Constructive delivery – It takes place in
following cases:
2. Where the seller agrees to hold the
goods as bailee for the buyer after sale.
3. Where the warehouseman or carrier
holds the goods as bailee for the seller.

6. • Mode of delivery – the delivery may take
place by any of the three modes: actual,
symbolic, constructive delivery. The
delivery means passing of possession to
make the buyer the real owner of goods.
• Delivery & payment are concurrent – The
delivery & payment of price are concurrent
conditions unless the parties agree
otherwise.

7. • Effect of part delivery – If the intention of
the seller is to deliver the goods in parts &
to perform the whole contract then part
delivery is valid delivery.
But if goods are delivered in parts & the
seller is not intending to contract fully then
there is breach of contract.
• Buyer to apply for delivery – Unless there
is a contract to the contrary then buyer
must apply for delivery. It will always be
the buyer who will apply for delivery of
goods. But, if it is mentioned in contract

8. That seller will deliver goods then seller
have to do so without applying of buyer.
• Place of delivery – At the place agreed
upon by the parties at the time of contract.
Where the place has not been decided,
they are to be delivered at a place at
which they are at the time of sale.
• Time of delivery – within reasonable time.
• Expenses of delivery – are to be borne by
seller unless there is a contract to
contrary.

9. 1. Delivery of wrong quantity: The seller
delivers the wrong quantity to the buyer
in following cases:
2. A quantity less than contracted ( buyer
may reject the goods)
3. A quantity larger than contracted ( buyer
may accept the goods under contract &
reject the rest ), may reject the whole.
4. Goods ordered mixed with goods of
different description. ( may accept or
may reject )

10. • Installment deliveries : The buyer is not
bound to accept the installment deliveries
of the goods unless there is a contract to
the contrary.
• Delivery to carrier: operates as delivery to
buyer.
• Examining the goods on delivery – buyer
must get the opportunity to examine the
goods.
• Acceptance of goods by buyer – the buyer
can accept & take the delivery of goods
but has no right to reject the goods after
acceptance.

11. • Not to return the rejected goods – When
the buyer reject the goods as not being
according to the contract. He is not bound
to return the rejected goods. He is just
required to give a clear notice of rejection
of goods to the seller.
• Liability of buyer for refusing delivery of
goods – If without any reason buyer
refuses to take delivery then he is
responsible.

12. • Delivery
• Reject
• Repudiate
• Notice of insurance
• Examine
• Against seller for breach- suit for
damages, suit for price, suit for specific
performance, suit for interest

13. • To accept and pay for possession
• Apply for delivery
• Reasonable time
• Accept installment delivery
• Intimate seller for rejection
• Pay price
• Pay damages for non acceptance