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Sale of Goods Summary

The document discusses key terms and concepts related to contracts for the sale of goods under UK law. It covers implied terms, remedies for buyers and sellers, and when ownership passes for specific, future, and unascertained goods. Key points covered include conditions versus warranties, available remedies for breach, and the passing of risk along with ownership.

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Kerrice Robinson
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61 views3 pages

Sale of Goods Summary

The document discusses key terms and concepts related to contracts for the sale of goods under UK law. It covers implied terms, remedies for buyers and sellers, and when ownership passes for specific, future, and unascertained goods. Key points covered include conditions versus warranties, available remedies for breach, and the passing of risk along with ownership.

Uploaded by

Kerrice Robinson
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
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Contract for the Sale of Goods

July 25, 2017


A. Terms

Property
Condition - a term that goes to the root of the contract – remedy for breach == damages
& rescission (Poussard vs Spiers)
Warranty – secondary term of the contract – remedy for breach == damages ( Bettini vs
Gye)
Innominate term – can be a condition or a warranty depending on the extent of the breach

B. Implied terms in the SOGA 1979


1. Title ( state the condition and warranty )
2. Sale by Sample (state the condition)
3. Sale by Description ( state the condition)
4. Satisfactory Quality (can be either a condition or a warranty based on the extent of the
breach)
5. Fitness for purpose
C. Remedies of the Unpaid Seller. There are two such remedies – 1. Against the goods ; 2. Against
the seller
Remedies against the goods (see details in handbook)
1. Lien
2. Stoppage in transit
3. Resale of goods
4. Repossession of Goods
Remedies against the buyer (see details in handbook)
1. Sue for the contract price
2. Sue for non-acceptance of goods.
D. Remedies of the Buyer
a. Sue for non- delivery
b. Sue to recover money paid to seller
c. Sue for damages because of loss suffered from breach
d. Sue for specific performance
E. Passing of property/ Ownership
a. Specific goods
b. Future goods
c. Unascertained goods

Things to note
1. S.O.G.A. 1979 Sales of Goods Act

2. Term- Promise or undertaking in a contract.

3. Condition have two remedies


a. Damages
b. Rescission
4. Breach of Warranty
a. Damages only

Other terms in sale of Goods

“Caveat emptor” Let the buyer beware.

“Nemo dat quod non habet” No man can sell that which is not his own.

Exceptions S.O.G.A

1. If you are an agent


2. If you have the power of the law (the order of the courts)
3. A power of sales under a mortgage.

Additional notes

1. Specific Goods

Goods that have been identify and agreed upon at the time of the contract of sale.

2. Future Goods
Future goods that are to be acquired after the contract of sales. Ex. A specific kind of
wedding cake. Anything that will require acquisition or design before delivery

3. Unascertained Goods

Goods forming part of a larger consignment. When the buyer’s portion has been taken
out, set aside and agreed upon as belonging to the buyer and the buyer is informed to
collect the goods then this portion has now been ascertained. These goods must be
collected in a reasonable time by the buyer, otherwise he/she will have to bear the loss
and pay the price.

Passing of Property or Ownership

1. For specific goods, ownership passes when the buyer and the seller
agree whether the goods are given now or later.
2. Future goods, ownership is passed when the goods have been acquired
and the buyer is informed thereof to take delivery of the goods.
3. Unascertained goods (Healy vs Howlett) ownership is passed when the
portion that is for buyer has been taken out of the bulk and weighed,
measured and package etc.for the buyer and the buyer is informed to
take delivery. Ownership passes at this stage and if the goods are
damaged, lost, or stolen after reasonable time (was given) while in the
possession of the seller, the buyer must bear the loss and pay the price.

NB. The risk/loss/damage or theft etc. passes to the buyer at the times when ownership
passes.

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