Rules regarding Terms under delivey of goods

Place of Delivery SEC.36(1) The delivey of goods should be effected as per the terms contained in the contract. The rules are

1. Time of delivery [sec. 36(2) & (4)]. Where under the contract of sale the seller is bound to send the goods to the buyer, but no time for sending them is fixed, the seller is bound to send them within a reasonable time. Further, demand of delivery by the buyer or the tender of delivery by the seller should be made at a reasonable hour. What is a reasonable hour is a question of fact.

2. Delivery of goods where they are in possession of a third party (sec. 36(3). Where the goods at the time of sale are in the possession of a third person, there is no delivery by the seller to the buyer unless and until such third person acknowledge to the buyer that he holds the goods on his behalf. Such a delivery is known as “ constructive delivery” or “ delivery by attornment” and requires the consent of all the three parties, the seller, the buyer and the person having possession of the goods, where the seller hands over the delivery order to the buyer, there is no delivery unless the seller’s agent holding the goods has assented thereto.

But where the goods have been sold by the transfer of the document of title to goods, e.g., railway receipt or bill of lading, the buyer is deemed to be in possession of the goods repre­sented by such document, and the assent of the third party is not required.

3. Cost of delivery. Unless otherwise agreed, all expenses of and incidental to making of delivery are borne by the seller, but all expenses of and incidental to obtaining of delivery are borne by the buyer (sec.36(5)).

4. Delivery of wrong quantity or different quality. [Sec 37] the delivery of the quanti ty of goods contracted for should be strictly according to terms of the contract. A defective delivery entities the buyer to reject the goods.
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