Organic Name Reactions for the students and aspirants of Chemistry12th.pptx
COMMERCIAL LAW U-5.pptx
1. Commercial law – Unit V
Karthikeyan R
Assistant Professor
Department of Commerce with Computer Applications
Dr. N.G.P. ARTS AND SCIENCE COLLEGE
(An Autonomous Institution, Affiliated to Bharathiar University, Coimbatore)
Approved by Government of Tamil Nadu and Accredited by NAAC with A++ Grade (3nd Cycle – 3.64 CGPA)
Dr. N.G.P.- Kalapatti Road, Coimbatore-641048, Tamil Nadu, India
Web: www.drngpasc.ac.in | Email: info@drngpasc.ac.in | Phone: +91-422-2369100
2. Contract of sale of goods
contract of sale as a whereby a seller transfers agrees to transfer the
property goods to the buyer for a price.
- Section 4 Sale of goods Act 1930
Transactions in the nature of sale of goods form the subject matter of the
Sale of Goods Act, 1930
Indian sale of goods act 1930 is based on the English sale of goods act
1893
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3. Dr. NGPASC
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Indian Contract Act 1872 Chapter VII was in vogue
before the Sale of Goods Act 1930 was enacted. The general
provisions of the Indian Contract Act continue to apply for
the sale of goods as long as they are not inconsistent with the
Express provisions of Sale of Goods Act.
A contract of sale of goods is a contract whereby the
seller TRANSFERS or AGREES TO TRANSFER the
property to goods to the buyer for a price.
A contract of sale may be absolute or conditional. It
includes both a sale and an agreement to sell.
4. Classification of Goods
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“Goods” means every kind of movable property other
than ACTIONABLE CLAIMS AND MONEY and includes
stocks and shares, growing crops, grass and things attached
to or forming part of the land which are agreed to be severed
before sale or under the contract of sale. Trade marks,
copyrights, patent rights, goodwill, electricity, water, gas are
all goods
Actionable claims are the things which a person cannot make
use of, but which can be claimed by him by means of a legal action. Ex.
A debt is not a goods because it can be assigned only as per transfer
pof property act but cannot be sold. Current money not treated as
goods.
6. Essentials of a Contract of sale
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7. Sales
Where the property in the goods is transferred from
the seller to the buyer, it is a SALE.
-Sec 4(3) of the sale of goods act 1930.
AGREEMENT TO SELL: Where the transfer of property in
the goods to take place at a future time or subject to some conditions
to be fulfilled thereafter, it is an AGREEEMENT TO SELL.
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10. Condition and Warranties
At the time of selling goods, a seller usually makes certain
statements or representations with a view to induce the
intending the buyer to Purchase the goods.
When forming a contract of sale, a party may make a
statement with a view to inducing the other party to enter into
a contract.
Every contract of sale has a number of
stipulations regarding the nature and quality of goods. Such
stipulations maybe either conditions and warranties.
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11. Condition and Warranty
A condition is a stipulation essential to the main
purpose of the contract, the breach of which gives rise to
a right to treat the contract as repudiated.
-Sec 12(2) of the sale of goods act 1930.
A warranty is a stipulation collateral to the main purpose of the
contract, the breach of which gives rise to claim for damages but not
a right to reject the goods and treat contract as repudiated.
Sec 12(3) of the sale of goods act 1930.
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13. Caveat Emptor
In the case of sale of goods, there is a fundamental
principle of law embodied in the maxim “CAVEAT
EMPTOR”, that is, let the buyer beware.
According to the doctrine of caveat emptor it
is the duty of the buyer to be careful while purchasing the
goods of his requirement and, in the absence of any
enquiry from the buyer, the seller is not bound to disclose
the every defect in goods of which he may be cognizant.
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14. Caveat Emptor
Fitness for Buyer’s Purpose (Sec 16(1)
Sale under a patent or trade name (Sec 16(1)
Merchantable Quality (Sec 16(2)
Custom or Usage of Trade (Sec 16(3)
Consent by fraud
Sale by sample (Sec 17)
Misrepresentation
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15. Caveat Emptor
Sale of Goods by description (Sec 15)
Sale of sample as well as by description (Sec 15)
Implied condition as to title to goods (Sec 14(a)
Implied warranty as quiet possession apply (Sec
14(b)
Implied warranty as to freedom from any charge
(Sec 14(c)
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