Sale of Goods Act, 1930

CHAPTER I – PRELIMINARY 1. Short title, extent and commencement. (1) This Act may be called the Sale of Goods Act, 1930. (2) It extends to the whole of India (except the State of Jammu and Kashmir) (3) It shall come into force on the 1st day of July, 1930. SaleRead…

2. Definitions. In this Act, unless there is anything repugnant in the subject of content- (1) “buyer” means a person who buys or agrees to buy goods, (2) “delivery” means voluntary transfer of possession from one person to another; (3) goods are said to be in a “deliverable state” when theyRead…

3. Applications of provisions of Act 9 of 1882. The unrepealed provisions of the Indian Contract Act, 1872 save insofar as they are inconsistent with the express provisions of this Act, shall continue to apply to contracts for sale of goods. Sale fo Goods Act full Bare Act Download SaleRead…

CHAPTER II – FORMATION OF THE CONTRACT CONTRACT OF SALE 4. Sale and agreement to sell. (1) A contract of sale of goods is a contract whereby the seller transfers or agrees to transfer the property in goods to the buyer for a price. There may be a contract ofRead…

FORMALITIES OF THE CONTRACT 5. Contract of Sale how made. (1) A contract of sale is made by an offer to buy or sell goods for a price and the acceptance of such offer. The contract may provide for the immediate delivery of the goods or immediate payment of theRead…

SUBJECT MATTER OF THE CONTRACT 6. Existing or future goods. (1) The goods which form the subject of a contract of sale may be either existing goods, owned or possessed by the seller, or future goods. (2) There may be a contract for the sale of goods the acquisition ofRead…

7. Goods perishing before making of contract. Where there is a contract for the sale of specific goods, the contract is void if the goods without the knowledge of the seller have, at the time when the contract was made, perished or become so damaged as no longer to answerRead…

8. Goods perishing before sale but after agreement to sell. Where there is an agreement to sell specific goods, and subsequently the goods without any fault on the part of the seller or buyer perish or become so damaged as no longer to answer to their description in the agreementRead…

THE PRICE 9. Ascertainment of price. (1) The price in a contract of sale may be fixed by the contract or may be left to be fixed in manner thereby agreed or may be determined by the course of dealing between the parties. (2) Where the price is not determinedRead…

10. Agreement to sell at valuation. (1) Where there is an agreement to sell goods on the terms that the price is to be fixed by the valuation of a third party and such third party cannot or does not make such valuation, the agreement is thereby avoided: Provided that,Read…

CONDITIONS AND WARRANTIES 11. Stipulations as to time. Unless a different intention appears from the terms of the contract, stipulations as to time of payment are not deemed to be of the essence of a contract of sale. Whether any other stipulations as to time is of the essence ofRead…

12. Condition and warranty. (1) A stipulation in a contract of sale with reference to goods which are the subject thereof may be a condition or a warranty. (2) A condition is a stipulation essential to the main purpose of the contract, the breach of which gives rise to aRead…

13. When condition to be treated as warranty. (1) Where a contract of sale is subject to any condition to the fulfilled by the seller, the buyer may waive the condition or elect to treat the breach of the condition as a breach of warranty and not as a groundRead…

14. Implied undertaking as to tile, etc. In a contract of sale, unless the circumstances of the contract are such as to show a different intention there is- (a) an implied condition on the part of the seller that, in the case of a sale, he has a right toRead…

15. Sale by description. Where there is a contract for the sale of goods by description, there is an implied condition that the goods shall correspond with the description, and, if the sale is by sample as well as by description, it is not sufficient that the bulk of theRead…

16. Implied condition as to quality or fitness. Subject to the provisions of this Act and of any other law for the time being in force, there is no implied warranty or condition as to the quality or fitness for any particular purpose of goods supplied under a contract ofRead…

17. Sale by sample. (1) A contract of sale is a contract for sale by sample where there is a term in the contract, express or implied, to that effect. (2) In the case of a contract for sale by sample there is an implied condition – (a) that theRead…

CHAPTER III – EFFECTS OF THE CONTRACT TRANSFER OF PROPERTY AS BETWEEN SELLER AND BUYER 18. Goods must be ascertained. Where there is a contract for the sale of unascertained (unknown, not confirmed) goods, no property in the goods is transferred to the buyer unless and until the goods are sanctioned.Read…

19. Property passes when intended to pass. (1) Where there is a contract for the sale of specific or ascertained goods the property in them is transferred to the buyer at such time as the parties to the contract intend it to be transferred. (2) For the purpose of ascertainingRead…

20. Specific goods in a deliverable state. Where there is an unconditional contract for the sale of specific goods in a deliverable state, the property in the goods passes to the buyer when the contract is made, and it is immaterial whether the time of payment of the price orRead…

21. Specific goods to be put into a deliverable state. Where there is a contract for the sale of specific goods and the seller is bound to do something to the goods for the purpose of putting them into a deliverable state, the property does not pass until such thingRead…

22. Specific goods in a deliverable state, when the seller has to do anything thereto in order to ascertain price. Where there is a contract for the sale of specific goods in a deliverable state, but the seller is bound to weigh, measure, test or do some other act orRead…

23. Sale of unascertained goods and appropriation. (1) Where there is a contract for the sale of unascertained or future goods by description and goods of that description and in a deliverable state are unconditionally appropriated to the contract, either by the seller with the assent of the buyer orRead…

24. Goods sect on approval or ‘on sale or return’. When goods are delivered to the buyer on approval or on sale or return or other similar terms, the property therein passes to the buyer- (a) when he signifies his approval or acceptance to the seller to does not otherRead…

25. Reservation of right of disposal. (1) Where there is a contract for the sale of specific goods or where goods are subsequently appropriated to the contract, the seller may, by the terms of the contract or appropriation, reserve the right of disposal of the goods until certain conditions areRead…

26. Risk Prima facie passes with property. Unless otherwise agreed, the goods remain at the seller’s risk until the property therein is transferred to the buyer, but when the property therein is transferred to the buyer, the goods are at the buyer’s risk whether delivery has been made or not:Read…

TRANSFER OF TITLE 27. Sale by person not the owner. Subject to the provisions of this Act and of any other law for the time being in force, where goods are sold by a person who is not the owner thereof and who does not sell them under the authorityRead…

28. Sale by one of joint owners. If one of several joint owners of goods has the sole possession of them by permission of the co-owners, the property in the goods in transferred to any person how buys them of such joint owner in good faith and has not atRead…

29. Sale by person in possession under voidable contract. When the seller of gods has obtained possession thereof under a contract voidable under Section 19 or Section 19A of the Indian Contract Act, 1872, but the contract has not rescinded at the time of the sale, the buyer acquires aRead…

30. Seller or buyer in possession after sale. (1) Where a person, having sold goods, continues or is in possession of the goods or of the documents of title to the goods, the delivery or transfer by that person or by a mercantile agent acting for him of the godsRead…

CHAPTER IV – PERFORMANCE OF THE CONTRACT 31. Duties of seller and buyer. It is the duty of the seller to deliver the goods and of the buyer to accept and pay for them, in accordance with the terms of the contract of sale. Sale fo Goods Act full Bare ActRead…

32. Payment and delivery are concurrent conditions. Unless otherwise agreed, delivery of the gods and payment of the price are concurrent conditions, that is to say, the seller shall be ready and willing to give possession of the goods to the buyer in exchange for the price, and the buyerRead…

33. Delivery. Delivery of goods sold may be made by doing anything which the parties agree shall be treated as delivery or which has the effect of putting the goods in the possession of the buyer or of any person authorised to hold them on his behalf. Sale fo GoodsRead…

34. Effect of part delivery. A delivery of part of goods, in progress of the delivery of the whole has the same effect, for the purpose of passing the property in such goods, as a delivery of the whole, but a delivery of part of the gods, with an intentionRead…

35. Buyer to apply for delivery. Apart from any express contract, the seller of goods in not bound to deliver them until the buyer applies for delivery. Sale fo Goods Act full Bare Act Download Sale of Goods Act PDFRead…

36. Rules as to delivery. (1) Whether it is for the buyer to take possession of the goods or for the seller to send them to the buyer is a question depending in each case on the contract, express or implied, between the parties. Apart from any such contract, goodsRead…

37. Delivery of wrong quantity. (1) Where the seller delivers to the buyer a quantity of good less than he contracted to sell, the buyer may reject them, but if the buyer accepts the goods so delivered he shall pay for them at the contract rate. (2) Where the sellerRead…

38. Instalment deliveries. (1) Unless otherwise agreed, the buyer of goods is not bound to accept delivery thereof by instalments. (2) Where there is a contract for the sale of goods to be delivered by stated instalments which are to be separately paid for, and the seller makes no deliveryRead…

39. Delivery to carrier or wharfinger. (1) Where, in pursuance of a contract of sale, the seller is authorised or required to send the goods to he buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer,Read…

40. Risk where goods are delivered at distant place. Where the seller of goods agrees to deliver them at his own risk at place other than that where they are when sold, the buyer shall, nevertheless, unless otherwise agreed, take any risk of deterioration in the goods necessarily incident toRead…

41. Buyer’s right of examining the goods. (1) Where goods are delivered to the buyer which he has not previously examined, he is not deemed to have accepted them unless and until he has a reasonable opportunity of examining them for the purpose of ascertaining whether they are in conformityRead…

42. Acceptance. The buyer is deemed to have accepted the goods when he intimates to the seller that he has accepted them, or when the goods have been delivered to him and he does any act in relation to them which is inconsistent with the ownership of the seller, orRead…

43. Buyer not bound to return rejected goods. Unless otherwise agreed, where goods are delivered to the buyer and he refuses to accept them, having the right so to do, he is not bound to return them to the seller, but it is he intimates to the seller that heRead…

44. Liability of buyer for neglecting or refusing delivery of goods. When the seller is ready and willing to deliver the goods and requests the buyer to take delivery, and the buyer does not within a reasonable time after such request take delivery of the goods, he is liable toRead…

CHAPTER V – RIGHTS OF UNPAID SELLER AGAINST THE GOODS 45. “Unpaid seller” defined. (1) The seller of goods is deemed to be an “unpaid seller” within the meaning of this Act- (a) When the whole of the price has not been paid or tendered; (b) When a bill of exchangeRead…

46. Unpaid seller’s rights. (1) Subject to the provisions of this Act and of any law for the for the time being in force, notwithstanding that the property in the goods may have passed to the buyer, the unpaid seller of goods, as such, has by implication of law- (a)Read…

UNPAID SELLER’S LIEN 47. Seller’s lien. (1) Subject to the provisions of this Act, the unpaid seller of goods who is in possession of them is entitled to retain possession of them until payment or tender of the price in the following cases, namely- (a) where the goods have beenRead…

48. Part delivery. Where an unpaid seller has made part delivery of the goods, he may exercise his right of lien on the remainder, unless such part delivery has been made under such circumstances as to show an agreement to waive the lien. Sale fo Goods Act full Bare ActRead…

49. Termination of lien. (1) The unpaid seller of goods losses his lien thereon- (a) when he delivers the goods to a carrier or other bailee for the purpose of transmission to the buyer without reserving the right of disposal of the goods. (b) when the buyer or his agentRead…

STOPPAGE IN TRANSIT 50. Right of stoppage in transit. Subject to the provisions of this Act, when the buyer of goods becomes insolvent, the unpaid seller who has parted with the possession of the goods has the right of stopping them in transit, that is to say, he may resumeRead…

51. Duration of transit. (1) Goods are deemed to be in course of transit from the time when they are delivered to a carrier or other bailee for the purpose of transmission to the buyer, until the buyer or his agent in that behalf takes delivery of them from suchRead…

52. How stoppage in transit is effected. (1) The unpaid seller may exercise his right to stoppage in transit either by taking actual possession of the goods, or by giving notice of his claim to the carrier or other bailee in whose possession the goods are. Such notice may beRead…

TRANSFER BY BUYER AND SELLER 53. Effect to sub-sale or pledge by buyer. (1) Subject to the provisions of this Act, the unpaid seller’s right of lien or stoppage in transit is not affected by any sale or other disposition of the gods which the buyer may have made, unlessRead…

54. Sale not generally rescinded by lien or stoppage in transit. (1) Subject to the provisions of this section, a contract of sale is not rescinded by the mere exercise by an unpaid seller of his right of lien or stoppage in transit. (2) Where the goods are of aRead…

CHAPTER VI – SUITS FOR BREACH OF THE CONTRACT 55. Suit for price. (1) Where under a contract of sale the property in the goods has passed to the buyer and the buyer wrongfully neglects or refuses to pay for the goods according to the terms of the contract, theRead…

56. Damages for non-acceptance. Where the buyer wrongfully neglects or refuses to accept and pay for the goods, the seller may sue him for damages for non-acceptance. Sale fo Goods Act full Bare Act Download Sale of Goods Act PDFRead…

57. Damages for non-delivery. Where the seller wrongfully neglects or refuses to deliver the goods to the buyer, the buyer may sue the seller for damages for non-delivery. Sale fo Goods Act full Bare Act Download Sale of Goods Act PDFRead…

58. Specific performance. Subject to the provisions of Chapter II of the Specific Relief Act, 1877, in any suit for breach of contract to deliver specific or ascertained goods, the Court may, if it thinks fit, one the application of the plaintiff, by its decree direct that the contract shallRead…

59. Remedy for breach of warranty. (1) Where there is a breach of warranty by the seller, or where the buyer elects or is compelled to treat any breach of a condition on the part of the seller as a breach of warranty, the buyer is not by reason onlyRead…

60. Repudiation of contract before due date. Where either party to a contract of sale repudiates the contract before the date of delivery, the other may either treat the contracts as subsisting and wait till the date of delivery, or he may treat the contract as rescinded and use forRead…

61. Interest by way of damages and special damages. (1) Nothing in this Act shall affect the right of the seller or the buyer to recover interest or special damages in any case whereby law interest or special damages may be recoverable, or to recover the money paid where theRead…

CHAPTER VII – MISCELLANEOUS 62. Exclusion of implied terms and conditions. Where any right, duty or liability would arise under a contract of sale by implication of law, it may be negatived or varies by express agreement or by the course of dealing between the negatives or varied by expressRead…

63. Reasonable time a question of fact. Where in this Act any reference is made to a reasonable time, the question what is a reasonable time is a question of fact. Sale fo Goods Act full Bare Act Download Sale of Goods Act PDFRead…

64. Auction sale. In the case of sale by auction- (1) where goods are put up for sale in lots, each lot is prima facie deemed to be the subject of a separate contract of sale; (2) the sale is complete when the auctioneer announces its completion by the fall ofRead…

64A. In contracts of sale, amount of increased or deceased to tax to be added or deducted. (1) Unless a different intention appears from the terms of the contract, in the event of any tax of the nature described in sub-section (2) being imposed, increased, decreased or remitted in respectRead…

65. Repeal. Rep. By the Repealing Act, 1938 (1of 1938), S. 2 and Sch. Sale fo Goods Act full Bare Act Download Sale of Goods Act PDFRead…

66. Savings. (1) Nothing in this Act or in any repeal effected thereby shall affect or be deemed to affect- (a) any right, title, interest, obligations or liability already acquired, accrued or incurred before the commencement of this Act, or (b) any legal proceedings or remedy in respect of any suchRead…