Suits for Breach of the Contract under Sale of Goods Act, 1930
Suits for Breach of Contract under Sale of Goods Act, 1930
When a party to a contract of sale of goods fails to perform their obligations, the other party may file a suit for breach of contract. The Sale of Goods Act, 1930, along with general contract law principles, provides remedies and types of suits available.
Common Types of Breaches and Suits:
Suit for Price (Section 55):
When the buyer wrongfully neglects or refuses to pay the price as agreed.
The seller can sue for the price of goods.
Applicable when the property in the goods has passed to the buyer.
Suit for Damages for Non-Acceptance (Section 56):
When the buyer wrongfully refuses or neglects to accept and pay for goods.
Seller can sue for damages for non-acceptance.
Suit for Damages for Non-Delivery (Section 57):
When the seller wrongfully neglects or refuses to deliver the goods.
Buyer can sue for damages for non-delivery.
Suit for Specific Performance (Section 58):
Buyer may sue for specific performance to get the goods delivered.
Applicable if goods are specific and the suit is for delivery.
Suit for Rejection of Goods (Section 60):
Buyer can reject goods if they fail to comply with the contract.
If the seller refuses to take back, the buyer can sue for damages or price paid.
Suit for Recovery of Goods (Section 61):
Buyer can sue for the recovery of goods wrongfully withheld by the seller.
Other Remedies:
Damages for Breach:
The injured party can claim damages to compensate for losses resulting from breach.
Rescission of Contract:
The injured party may rescind (cancel) the contract if breach is substantial.
Summary Table: Suits for Breach of Contract under Sale of Goods Act, 1930
| Type of Suit | Who Can File | When Applicable | Remedy Sought |
|---|---|---|---|
| Suit for Price (Section 55) | Seller | Buyer refuses to pay after property passes | Recover price of goods |
| Suit for Damages for Non-Acceptance (Section 56) | Seller | Buyer refuses to accept goods | Damages for non-acceptance |
| Suit for Damages for Non-Delivery (Section 57) | Buyer | Seller refuses to deliver goods | Damages for non-delivery |
| Suit for Specific Performance (Section 58) | Buyer | Goods are specific; delivery refused | Order for delivery of goods |
| Suit for Rejection of Goods (Section 60) | Buyer | Goods do not conform to contract | Damages or refund |
| Suit for Recovery of Goods (Section 61) | Buyer | Goods wrongfully withheld by seller | Recovery of goods |
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