Q.4 Discuss those remedies available to seller and buyer in the contract of sale. OR In the contract of sale, which remedies are available to buyer and seller?
Ans: REMEDIES TO PARTIES FOR THE BREACH OF CONTRACT OF SALE
1. SUITS POR THE PRICE
Under Section 55, when the goods are passed to the buyers under the contract of sale and buyer refused or neglected to pay, them a seller may sue him for the payment.
“A” sells and deliver the goods to “B” for Rs. 1000 but “B” fails to pay the price. “A” can sue for the price.
2. COOPS NOT TRANSFERRED
If goods are not passed to the buyer but according to the contract if the payment is not made in time, a seller has a right to sue for price.
3. SUIT POR DAMAGES
If a buyer refuse to accept the goods or neglects to make payment, a seller has right to sue for damages for non – acceptance.
“A” sells and deliver the goods to “B” for Rs. 1000 but “B” fails to pay the price. “A” can sue for the price and damages.
4. LIABILITY OF BUYER
A buyer is liable to the seller for any loss occurred by his negligence or refusal in taking the delivery
REMEDIES £OR BUYER
Buyer has the following remedies in case of breach of contract.
1. RECOVERY OP INTEREST
The seller or buyer may recover interest or special damages if these are recoverable by law.
Ali purchase machinery form Shahid for Rs.l000/= and gives him the full amount. Shahid refuse to deliver the machinery without any reason, Ali can claim the value of machinery with interest.
2. SUIT FOR LOSSES
A buyer may sue the seller for damages if a seller refuses or wrongfully neglects to deliver the goods.
X agrees to deliver 25 Computer to CityCollegeon 1″ September 2005. X fails to perform his promise in time and deliver the computer on 25 September. City colleges can file a suit against X for damages
3. APPLICA TION FOR SPECIAL PERFORMANCE
If the seller refuses to deliver the goods to the buyer, court may compel the seller to deliver the goods and issue the degree of specific performance on the application of buyer.
4. SUITS FOR BREACH OF WARRANTY
In some cases a buyer has also a remedy to sue where there is a breach of warranty by the
“A” promises to sell to “B” a Honda Motorcycle on April 15th 2006. “A” deliver on 30th April 2006. “B” is entitled to claim damages.
TRANSFER OF TITLE Next Post:
Explain auction sales and the rules regarding to sale of auction?