Performance of contract of sale

1. Assignment - 2

2. Business law
• Name : G.seethalakshmi
• Class : 2.B.com .B
• Subject : business law
• Title : performance of contract of sale
•

3. PROFORMANCE OF CONTRACT

4. Meaning
• A contract of sale is said to be performed when the seller gives
delivery of the goods to the buyer and the buyer makes payment for
the goods.

5. Delivery of goods
• Delivery means voluntary transfer of possession of goods from one
person to another – section 2 . Delivery of goods may be of three
types as shown below
• Delivery of goods
• Symbolic delivery
• Constructive delivery
• Actual delivery

6. Rules regarding delivery of goods
• Payment of price after delivery : delivery of the goods and payment of the
price must be in accordance with the terms of the contract.
• Mode of delivery: the mode of delivery may be actual symbolic or
constructive.
• Effect of part delivery : delivery of part of the goods in the process of
delivery of the whole has the same effect for the purpose of passing the
property in such goods.
• buyer to apply for delivery : the seller is not bound to delivery the goods
until the buyer applies for delivery .

7. • Place of delivery : if the contract itself specifies the place where the goods shall
be delivery the goods shall be accordingly delivery by the seller at that place
during business hours on a working day.
• Goods in possession of a third party : section 36 when at the time of the sale the
goods are with a third party there is no delivery by the seller to the buyer until
such third party acknowledges to the buyer that he holds them on his behalf.
• Time of delivery : section 36 if the contract is silent about the time of delivery of
the goods the goods shall be delivery by the seller to the buyer within a
reasonable time.
• Cost of delivery ; section 39 unless otherwise agreed all expenses of delivery and
also incidental expense of borne by the seller .

8. • Delivery of wrong quantity section 37 : the quantity of goods delivery by the seller
should be strictly in accordance with the terms of the contract.
• No instalment delivery of goods section 38 : unless otherwise agreed the seller is
not entitled to deliver the goods by instalments and if he does so the buyer is not
bound to accept the goods.
• Delivery of goods to a carrier: where the goods are delivered to a carrier as per the
contract for the perfect of transmission to the buyer it shall be deemed to be a
delivery of the goods to the buyer.
•

9. Acceptance of delivery section 42
• If the buyer wrongfully refuses to accept the goods under the contract he is
liable for damages . The buyer is deemed to have accepted the good if he
• (a) informs the seller about it ; or
• (b) dose any act which is inconsistent with the ownership of the seller.
• © retains the goods even after the expiry of a reasonable time without any
intimation to the seller that he has rejected them.
•

10. Thank you .