Goods delivery

Meaning of Delivery

As per Sec. 2(2) of the Sale of Goods Act, 1930, the voluntary transfer of possession from one person to an other is delivery According to Sec. 33 of the Sale of Goods Act, delivery of goods sold may be made by doing anything, which the parties agree to be treated as delivery or which has the effect of putting the goods in the possession of buyer or of any other person, authorised to hold the goods on his be-

Ex-Mukesh purchased 100 bags of wheat from Mahesh. Mukesh sends a truck to collect the goods nom Mahesh. The moment bags are loaded in the truck, Mahesh shall deliver the goods to Mukesh.

Types of Delivery


Delivery is of three types which can be mentioned as

(1) Actual Delivery-When goods are actually delivered as per the conditions of contract to the buyer or authorised representative of the buyer, it is termed as Actual Delivery.

(2) Constructive Delivery. When the goods does not reach the actual buyer but is with the seller or seller’s representative, however, it is taken as if the goods has reached the buyer and it is called as Constructive Delivery.

(3) Symbolic Delivery- When the seller hands over the document of title of goods to the buyer in the form of railway receipt, shipping documents and other such documents, it is called as Symbolic Delivery

Rules Relating to Delivery

The Sale of Goods Act, 1930 contains Secs. 34 to 36 detailing the following roles regarding delivery:

(1) Effect of Partial Delivery- Normally, the goods is delivered in total quantity out, sometimes the seller may give only a part of the goods to separate it from toe remaining goods. If this is the case the partial goods shall not affect the final delivery.

(2) When Buyer Asks the Seller to Deliver the Goods- If there is no reference to the time of delivery in the contract of sale, the seller is bound to deliver whenever the buyer demands the goods.

(3) Other Provisions-Some other provisions in Sec. 36 of the Sale of Goods Act, 1930, are as follows:

(i) Mode of Delivery- It is the liability of the seller to deliver the goods. This is based on the express or implied contract between the parties,

(ii) Place of Delivery- If the place of delivery is mentioned in the contract, the delivery shall be at the same place.If, however, it is not mentioned then the delivery shall be at
the place where the contract was drawn or where the goods is normally stored.

(iii) Time of Delivery- If there is no mention of the time of delivery, the seller should deliver the goods in reasonable time, failing which the buyer may reject the delivery and claim compensation.

(iv) When Goods is in the Possession of Third Party If the goods is in the possession of a third party, the delivery is considered to have been made the moment the third party accepts that he has some goods which belongs new to the buyer.

(v) Demand for Delivery and Present the Goods- The goods should be demanded at the proper time. Similarly, the delivery should be given in proper time, place and manner. If the delivery is improper it may not be considered as delivery and damages may be claimed.

(vi) Delivery Expenses. The seller has to bear all the expenditure of delivery in absence of any specific agreement regarding it.

(4) Delivery of Wrong Quantity- If the quantity of goods delivered, is different from the quantity in the contract of sale, the following provisions shall apply:

(i) Less Delivery- The buyer may refuse the total delivery or accept it in whatever quantity has actually been delivered. In the second case, the buyer will pay at the same rate as agreed upon.

(ii) Excess Delivery- The buyer has three options,first reject the full delivery, second accept the goods as was agreed upon and third accept the extra goods and pay the money at the rate agreed for the original quantity of goods,

(5) Delivery in Instalments- When the delivery of goods is not made in one single lot, but in smaller quantities,the following rules shall apply:

(i) If the agreement does not permit such delivery, the buyer is not bound to accept the goods;

(ii) If the agreement provides for delivery as well as payment in instalments, following are the provisions

(a) The buyer may repudiate the contract it the delivery is defective. The buyer has to decide whether the breach is serious or not. Alternatively, he may claim-damages also.

(b)If the buyer does not take delivery of some instalment or delays the payment, the seller has the right to claim compensation or even to cancel the contract.

(6) Delivery of the Goods to Transporter- Sometimes, the buyer himself does not take the delivery of goods, instead, he appoints some transporter. In this case, the provi-
sions shall be as follows:

(1) If it is decided in the contract that the seller will send the of goods to the buyer, and for that purpose,seller hands over the goods to the transporter, authorised by the buyer, it as would be presumed to be a delivery to the buyer.

(i)If due to negligence of the seller in dispatching the goods, the goods gets damaged then the seller is liable for such damage.

(iii) If the goods is being transported by sea or some other risky way, then the seller should inform the buyer in advance so that he may get the goods insured. If not, the seller will be liable for damages.

(iv) If the seller has agreed to give the delivery at some other place at his own risk, he would be liable for the damages for goods in transit.

(v) Inspection of Goods by the Purchaser-If the buyer has been given an opportunity to inspect the goods and he accepts it after proper scrutiny, then delivery will be taken to exist at the time when the buyer approves the goods as fit for supply.

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