Skip to content

CSEET · Business Laws and Management · Elements of Law relating to Sale of Goods

Sunil Traders delivers 10 sewing machines to Kavita on approval, with no time fixed for return. Kavita neither tells Sunil that she approves nor gives notice of rejection, and keeps the machines. When does property in the machines pass to her?

Property passes to Kavita on the expiration of a reasonable time. Because goods were delivered on approval, no time was fixed, and she retained them without giving notice of rejection, the Act treats her as having accepted after a reasonable time.

  1. AOn the expiration of a reasonable timeCorrect
  2. BImmediately on delivery
  3. COnly when she pays the price in full
  4. DNever, unless she signifies approval in writing

Explanation

Under Section 24, property passes when the buyer signifies approval or does any act adopting the transaction. If she does not signify approval but retains the goods without notice of rejection, property passes on expiry of the fixed time or, if none is fixed, a reasonable time. Delivery alone does not transfer property.

Did you get it right without looking?

One question tells you little. A timed set on Elements of Law relating to Sale of Goods shows your real accuracy, how long you take and where you lose marks.

Practise Elements of Law relating to Sale of GoodsFree diagnostic mock

More Elements of Law relating to Sale of Goods questions