NATURE AND FORMATION OF CONTRACTS OF SALE OF GOODS Flashcards
DEFINITION OF SECTION 4(1) OF THE SALE OF GOODS ACT, 1957
A CONTRACT WHERE THE SELLER TRANSFERS OR AGREES TO TRANSFER THE PROPERTY TO THE BUYER FOR A PRICE
3 MAIN ELEMENTS IN THE SALE OF GOODS ACT, 1957
- GOODS MUST BE AVAILABLE
- SELLER AGREE TO TRANSFER THE PROPERTY IN GOODS
- THERE IS A PRICE
SECTION 2 OF THE SALE OF GOODS ACT, 1957
THE DEFINITION OF BUYER AND SELLER
DEFINITION OF BUYER AND SELLER IN THE SALE OF GOODS ACT, 1957
A PERSON WHO AGREES TO BUY GOODS AND PERSON WHO AGREES TO SELLS GOODS
DEFINITION OF GOODS IN SECTION 2 OF THE SALE OF GOODS ACT, 1957
“Every kind of movable property other than actionable claims and money; and includes stock 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 will be considered goods”
what is the meaning by sales of land is not sales of goods?
things that erected/ found on the land, are not goods
ex. trees, minerals, soil are part of the land so cannot be classified as goods.
However, if the things that have been moved out of the land can become goods
MORGAN V RUSSEL
THE VENDOR THE OWNER OF CERTAIN LAND. HE THEN SOLD SLAG AND CINDERS TO BUYER.
THE SALE OF SLAG AND CINDERS ARE NOT SALE OF GOODS
BECAUSE IT IS NOT SEPERATED FROM THE LAND