A agrees to purchase from B a certain quantity of coal but the ship carrying coal has yet to arrive at the port. When shall the property in coal pass to A from B?
A. Immediately at the time of the agreement
B. When the ship arrives at the port with coal
C. When A is informed that ship is safe
D. At the option of B
Answer: Option B
Solution(By Examveda Team)
According to the Sale of Goods Act, the general rule for the transfer of property in goods is that it passes from the seller to the buyer at the time when the parties intend it to pass. This intention is determined based on the terms of the agreement between the parties, the conduct of the parties, and the circumstances of the case.In the given scenario, since A agrees to purchase a certain quantity of coal from B and the coal is to be transported by ship to the port, the property in the coal is likely to pass to A when the ship arrives at the port with the coal. This is because the parties would likely have intended the transfer of property to occur upon the actual arrival of the goods at the agreed location.
Option A: Immediately at the time of the agreement is not the correct answer as the passing of property is generally not immediate but occurs based on the parties' intention.
Option C: When A is informed that ship is safe is not the correct answer as the safety of the ship does not necessarily determine the transfer of property in goods.
Option D: At the option of B is not the correct answer as the transfer of property is determined by the intention of both parties and not solely at the option of one party.
Given the options provided, the correct answer is Option B: When the ship arrives at the port with coal.
Join The Discussion
Comments ( 1 )
The Sale of Goods Act, 1930 is based on:
A. The English Bill of Exchange Act, 1882
B. The Transfer of Property Act, 1882
C. The English Sale of Goods Act, 1893
D. The Indian Contract Act, 1872
Which of the following is not the right of an unpaid seller under Sale of Goods Act, 1930:
A. Right of lien on goods for the price while the goods are in possession of seller
B. Right of stopping the goods in transit, in case of insolvency of buyer
C. Right of resale as limited by the Act
D. Right of withholding delivery where the property in the goods has passed to the buyer
Under section 9 of the Sale of Goods Act, 1930, what is a reasonable price is
A. A question of fact
B. A question of law
C. A mixed question of fact and law
D. Only (C) and not (A) or (B)
Before the enactment of Sale of Goods Act, the provisions regarding Sale of Goods were contained in:
A. Indian Contract Act, 1872
B. Indian Registration Act, 1908
C. Transfer of Property Act, 1882
D. Indian Partnership Act, 1932
why won't it pass immediately? i.e. option a
someone please give the reasoning