CHAPTER LXXI

CHAPTER LXXI


56 & 57 Vict. c. 71


SALE OF GOODS ACT 1893

REVISED

Updated to 30 June 2016


This Revised Act is an administrative consolidation of the Sale of Goods Act 1893. It is prepared by the Law Reform Commission in accordance with its function under the Law Reform Commission Act 1975 (3/1975) to keep the law under review and to undertake revision and consolidation of statute law.

All Acts up to and including Criminal Justice (Spent Convictions and Certain Disclosures) Act 2016 (4/2016), enacted 11 February 2016, and all statutory instruments up to and including European Union (Cereal Seed) (Amendment) Regulations 2016 (S.I. No. 375 of 2016), made 30 June 2016, were considered in the preparation of this revision.

Disclaimer: While every care has been taken in the preparation of this Revised Act, the Law Reform Commission can assume no responsibility for and give no guarantees, undertakings or warranties concerning the accuracy, completeness or up to date nature of the information provided and does not accept any liability whatsoever arising from any errors or omissions. Please notify any errors, omissions and comments by email to

revisedacts@lawreform.ie.


56 & 57 Vict. c. 71


SALE OF GOODS ACT 1893

REVISED

Updated to 30 June 2016


Introduction

This revision presents the text of the Act as it has been amended since enactment, and preserves the format in which it was passed.

Related legislation

Sale of Goods Acts 1893 and 1980 : this Act is one of a group of Acts included in this collective citation, to be construed together as one [ Sale of Goods and Supply of Services Act 1980 (16/1980), s. 9]. The Acts in the group are:

Sale of Goods Act 1893 (56 & 57 Vict. c. 71)

Sale of Goods and Supply of Services Act 1980 (16/1980), Part II

Though not included in the collective citation, the European Communities (Unfair Terms in Consumer Contracts) Regulations 1995 (S.I. No. 27 of 1995), European Communities (Unfair Terms in Consumer Contracts) (Amendment) Regulations 2000 (S.I. No. 307 of 2000) and European Communities (Certain Aspects of the Sale of Consumer Goods and Associated Guarantees) Regulations 2003 (S.I. No. 11 of 2003) deal with the same subject matter.

Annotations

This Revised Act is annotated and includes textual and non-textual amendments, statutory instruments made pursuant to the Act and previous affecting provisions.

An explanation of how to read annotations is available at

www.lawreform.ie/annotations.

Material not updated in this revision

Where other legislation is amended by this Act, those amendments may have been superseded by other amendments in other legislation, or the amended legislation may have been repealed or revoked. This information is not represented in this revision but will be reflected in a revision of the amended legislation if one is available.

Where legislation or a fragment of legislation is referred to in annotations, changes to this legislation or fragment may not be reflected in this revision but will be reflected in a revision of the legislation referred to if one is available.

A list of legislative changes to any Act, and to statutory instruments from 1999, may be linked from the page of the Act or statutory instrument at

www.irishstatutebook.ie.

Acts which affect or previously affected this revision

Assisted Decision-Making (Capacity) Act 2015 (64/2015)

Criminal Justice (Theft and Fraud Offences) Act 2001 (50/2001)

International Carriage of Goods by Road Act 1990 (13/1990)

Restrictive Practices (Amendment) Act 1987 (31/1987)

Trading Stamps Act 1980 (23/1980)

Sale of Goods and Supply of Services Act 1980 (16/1980)

Statute Law Revision Act 1908 (56 & 57 Vict. C. 49)

All Acts up to and including Criminal Justice (Spent Convictions and Certain Disclosures) Act 2016 (4/2016), enacted 11 February 2016, were considered in the preparation of this revision.

Statutory instruments which affect or previously affected this revision

European Union (Consumer Information, Cancellation and Other Rights) Regulations 2013 (S.I. No. 484 of 2013)

European Communities (Certain Aspects of the Sale of Consumer Goods and Associated Guarantees) Regulations 2003 (S.I. No. 11 of 2003)

European Communities (Contracts For Time Sharing of Immovable Property — Protection of Purchasers) Regulations 1997 (S.I. No. 204 of 1997)

All statutory instruments up to and including European Union (Cereal Seed) (Amendment) Regulations 2016 (S.I. No. 375 of 2016), made 30 June 2016, were considered in the preparation of this revision.


56 & 57 Vict. c. 71


SALE OF GOODS ACT 1893

REVISED

Updated to 30 June 2016


ARRANGEMENT OF SECTIONS

PART I.

Formation of the Contract.

Contract of Sale.

Section

1.

Sale and agreement to sell.

2.

Capacity to buy and sell.

Formalities of the Contract.

3.

Contract of sale, how made.

4.

Contract of sale for ten pounds and upwards.

Subject matter of Contract.

5.

Existing or future goods.

6.

Goods which have perished.

7.

Goods perishing before sale but after agreement to sell.

The Price.

8.

Ascertainment of price.

9.

Agreement to sell at valuation.

Conditions and Warranties.

10.

Stipulations as to time.

11.

When condition to be treated as warranty.

12.

Implied undertaking as to title, etc.

13.

Sale by description.

14.

Implied undertakings as to quality or fitness.

Sale by Sample.

15.

Sale by sample.

PART II

Effects of the Contract.

Transfer of Property as between Seller and Buyer.

16.

Goods must be ascertained.

17.

Property passes when intended to pass.

18.

Rules for ascertaining intention.

19.

Reservation of right of disposal.

20.

Passing of risk.

Transfer of Title.

21.

Sale by person not owner.

22.

Market overt.

23.

Sale under voidable title.

24.

Revesting of property in stolen goods on conviction of offender.

25.

Seller or buyer in possession after sale.

26.

Effect of writs of execution.

PART III.

Performance of the Contract.

27.

Duties of seller and buyer.

28.

Payment and delivery are concurrent conditions.

29.

Rules as to delivery.

30.

Delivery of wrong quantity.

31.

Instalment deliveries.

32.

Delivery to carrier.

33.

Risk where goods are delivered at distant place.

34.

Buyer’s right of examining the goods.

35.

Acceptance.

36.

Buyer not bound to return rejected goods.

37.

Liability of buyer for neglecting or refusing delivery of goods.

PART IV.

Rights of Unpaid Seller against the Goods.

38.

Unpaid seller defined.

39.

Unpaid seller’s rights.

40.

Attachment by seller in Scotland.

Unpaid Seller’s Lien.

41.

Seller’s lien

42.

Part delivery.

43.

Termination of lien.

Stoppage in transitu.

44.

Right of stoppage in transitu.

45.

Duration of transit.

46.

How stoppage in transitu is effected.

Re-sale by Buyer or Seller.

47.

Effect of sub-sale or pledge by buyer.

48.

Sale not generally rescinded by lien or stoppage in transitu.

PART V.

Actions for Breach of the Contract.

Remedies of the Seller.

49.

Action for price.

50.

Damages for non-acceptance.

Remedies of the Buyer.

51.

Damages for non-delivery.

52.

Specific performance.

53.

Remedy for breach of warranty.

54.

Interest and special damages.

PART VI.

Supplementary.

55.

Exclusions of implied terms and conditions.

55A.

Conflict of laws.

56.

Reasonable time a question of fact.

57.

Rights, &c. enforceable by action.

58.

Auction sales.

59.

Payment into court in Scotland when breach of warranty alleged.

60.

Repeals.

61.

Savings.

62.

Interpretation of terms.

63.

Commencement.

64.

Short title.

SCHEDULE


Acts Referred to

English Statute of Monopolies Act, 1623

1 Jac. 1. c. 21.

Factors Act, 1889

52 & 53 Vict. c. 45.

Factors (Scotland) Act, 1890

53 & 54 Vict. c. 40.

Mercantile Law Amendment (Scotland) Act, 1856

19 & 20 Vict. c. 60.

Mercantile Law Amendment Act, 1856

19 & 20 Vict. c. 97.

Statute of Frauds Act, 1677

29 Cha. 2. c. 3.

Statute of Frauds Amendment Act, 1828

9 Geo. 4. c. 14.


56 & 57 Vict. c. 71


SALE OF GOODS ACT 1893

REVISED

Updated to 30 June 2016


An Act for codifying the Law relating to the Sale of Goods [ 1]. [20th February 1894.]

Annotations:

Modifications (not altering text):

C1

Relationship between Act and European Communities (Certain Aspects of the Sale of Consumer Goods and Associated Guarantees) Regulations 2003 explained (22.01.2003) by European Communities (Certain Aspects of the Sale of Consumer Goods and Associated Guarantees) Regulations 2003 (S.I. No. 11 of 2003), reg. 3.

Relationship between Regulations and consumer protection enactments.

3. (1) Subject to paragraphs (3) and (4), these Regulations are in addition to, and not in substitution for, any other enactment relating to the sale of goods or the terms of contracts concluded with consumers, and in particular —

(a) the Sale of Goods and Supply of Services Acts 1893 and 1980,

and

(b) the European Communities (Unfair Terms in Consumer Contracts) Regulations 1995 ( S.I. No. 27 of 1995).

(2) In particular, Regulation 4 is in addition to, and not in substitution for, a provision of any other enactment that provides that a consumer shall not be deprived, by virtue of a choice of the kind mentioned in that Regulation, of the protection afforded by any enactment.

(3) In a case where the level of protection for the consumer afforded by a particular provision of these Regulations is greater than that afforded by a particular provision of another enactment, or to the extent that the invocation of a latter such provision by the consumer would diminish the first-mentioned level of protection for him or her —

(a) the consumer may opt to invoke the particular provision of these Regulations to the exclusion of the other provision, and

(b) the other provision may be invoked, and shall be construed and operate so as to be capable of being invoked, by the consumer in a manner that does not diminish the first-mentioned level of protection for him or her,

but nothing in this paragraph operates to extend the application of these Regulations to a person who is not a consumer within the meaning of these Regulations or to goods that are not consumer goods within the meaning of these Regulations.

(4) In a case where the level of protection for the consumer afforded by a particular provision of any other enactment is greater than that afforded by a particular provision of these Regulations, or to the extent that the invocation of a latter such provision by the consumer would diminish the first-mentioned level of protection for him or her —

(a) the consumer may opt to invoke the particular provision of that other enactment to the exclusion of the other provision of these Regulations, and

(b) that other provision of these Regulations may be invoked, and shall be construed and operate so as to be capable of being invoked, by the consumer in a manner that does not diminish the first-mentioned level of protection for him or her,

but nothing in this paragraph operates to afford to any person the protection of that provision of the other enactment in any case where it would not otherwise be so afforded.

C2

Application of Act restricted (1.05.1991) by International Carriage of Goods by Road Act 1990 (13/1990), s. 3(3), S.I. No. 22 of 1991 (commenced in relation to carriage other than carriage between the State and the United Kingdom of Great Britain and Northern Ireland).

Application of certain enactments in relation to CMR.

3.— ...

(3) The Carriers Act, 1830, section 7 of the Railway and Canal Traffic Act, 1854, the Sale of Goods Act, 1893, and the Sale of Goods and Supply of Services Act, 1980, shall not apply in relation to contracts for the carriage of goods if the carriage is carriage in relation to which CMR applies.

...

C3

Enforcement of Act affected (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 55, as substituted (25.01.1988) by Restrictive Practices (Amendment) Act 1987 (31/1987) s. 32, S.I. No. 2 of 1988.

Functions of Director of Consumer Affairs.

55.—(1) The Director of Consumer Affairs and Fair Trade shall have the following additional functions—

( a) to keep under general review practices or proposed practices in relation to any of the obligations imposed on persons by any provision of this Act or the Act of 1893,

( b) to carry out examinations of any such practices or proposed practices where the Director considers that, in the public interest, such examinations are proper or the Minister so requests,

( c) to request persons engaging in or proposing to engage in such practices as are, or are likely to be, contrary to the obligations imposed on them by any provision of this Act or the Act of 1893 to discontinue or refrain from such practices,

( d) to institute proceedings in the High Court for orders requiring persons engaging or proposing to engage in any practices as are, or are likely to be, contrary to the obligations imposed on them by any provision of this Act or the Act of 1893, to discontinue or refrain from such practices.

(2) The Minister may by order confer on the Director of Consumer Affairs and Fair Trade such further functions as he considers appropriate for the purposes of this Act.

C4

Act included in collective citation and construction (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 9, commenced as per s. 1(2).

Citation and construction of Part II.

9.—(1) The Act of 1893 and this Part may be cited together as the Sale of Goods Acts, 1893 and 1980.

(2) The Act of 1893 and this Part shall be construed as one.

Acts included or previously included in the collective citation and construction:

Sale of Goods and Supply of Services Act 1980 (16/1980), Part II, (31.12.1980) by s. 9, commenced on enactment.

Sale of Goods Act 1893 (56 & 57 Vict. c. 71) (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 9, commenced on enactment.

C5

Term “dealing as consumer” defined (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 3, commenced as per s. 1(2).

Dealing as consumer.

3.—(1) In the Act of 1893 and this Act, a party to a contract is said to deal as consumer in relation to another party if—

( a) he neither makes the contract in the course of a business nor holds himself out as doing so, and

( b) the other party does make the contract in the course of a business, and

( c) the goods or services supplied under or in pursuance of the contract are of a type ordinarily supplied for private use or consumption.

(2) On—

( a) a sale by competitive tender, or

( b) a sale by auction—

(i) of goods of a type, or

(ii) by or on behalf of a person of a class

defined by the Minister by order,

the buyer is not in any circumstances to be regarded as dealing as consumer.

(3) Subject to this, it is for those claiming that a party does not deal as consumer to show that he does not.

C6

Application of Act extended (9.07.1980) by Trading Stamps Act 1980 (23/1980), s. 8, commenced on enactment.

Application of Sale of Goods Act, 1893, and Sale of Goods and Supply of Services Act, 1980.

8.—(1) For the purposes of the Sale of Goods Act, 1893, and the Sale of Goods and Supply of Services Act, 1980, the publication by a company which is the promoter of a trading stamp scheme of a catalogue shall be regarded as an offer, and the tender within the prescribed period of validity of the appropriate number of stamps shall be regarded as an acceptance, in the same way as if the offer and the acceptance were for a monetary consideration.

(2) The provisions of the Sale of Goods Act, 1893, and of the Sale of Goods and Supply of Services Act, 1980, shall apply in every case where the promoter of a trading stamp scheme offers goods or services in exchange for trading stamps.

(3) Where a person other than a promoter of a trading stamp scheme offers goods or services in exchange for trading stamps, the provisions of the Sale of Goods Act, 1893, and of the Sale of Goods and Supply of Services Act, 1980, shall apply in the same way as if that exchange were for a monetary consideration.

Part I.

Formation of the Contract.

Contract of Sale.

Sale and agreement to sell.

1

1. (1) A contract of sale of goods is a contract whereby the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration, called the price. There may be a contract of sale between one part owner and another.

(2) A contract of sale may be absolute or conditional.

(3) Where under a contract of sale the property in the goods is transferred from the seller to the buyer the contract is called a sale; but where the transfer of the property in the goods is to take place at a future time or subject to some condition thereafter to be fulfilled the contract is called an agreement to sell.

(4) An agreement to sell becomes a sale when the time elapses or the conditions are fulfilled subject to which the property in the goods is to be transferred.

Capacity to buy and sell.

2

2.Capacity to buy and sell is regulated by the general law concerning capacity to contract, and to transfer and acquire property.

Provided that where necessaries are sold and delivered to an infant, or minor, or to a person, who by reason of mental incapacity or drunkenness is imcompetent to contract, he must pay a reasonable price therefor.

Necessaries in this section mean goods suitable to the condition in life of such infant or minor or other person, and to his actual requirements at the time of the sale and delivery.

Formalities of the Contract.

Annotations:

Amendments:

F1

Repealed by Assisted Decision-Making (Capacity) Act 2015 (64/2015), s. 137(2), not commenced as of date of revision.

Modifications (not altering text):

C7

Prospective affecting provision: section amended by Assisted Decision-Making (Capacity) Act 2015 (64/2015), s. 137(2), not commenced as of date of revision.

2. ...

Provided that where necessaries are sold and delivered to an infant, or minor, or to a person, who by reason of F1 [ ] drunkenness is incompetent to contract, he must pay a reasonable price therefor.

...

Contract of sale, how made.

3

3.Subject to the provisions of this Act and of any statute in that behalf, a contract of sale may be made in writing (either with or without seal), or by word of mouth, or partly in writing and partly by word of mouth, or may be implied from the conduct of the parties.

Provided that nothing in this section shall affect the law relating to corporations.

Contract of sale for ten pounds and upwards.

4

4. (1) A contract for the sale of any goods of the value of ten pounds or upwards shall not be enforceable by action unless the buyer shall accept part of the goods so sold, and actually receive the same, or give something in earnest to bind the contract, or in part payment, or unless some note or memorandum in writing of the contract be made and signed by the party to be charged or his agent in that behalf.

(2) The provisions of this section apply to every such contract, notwithstanding that the goods may be intended to be delivered at some future time, or may not at the time of such contract be actually made, procured, or provided, or fit or ready for delivery, or some act may be requisite for the making or completing thereof, or rendering the same fit for delivery.

(3) There is an acceptance of goods within the meaning of this section when the buyer does any act in relation to the goods which recognises a pre-existing contract of the sale whether there be an acceptance in performance of the contract or not.

(4) The provisions of this section do not apply to Scotland.

Subject matter of Contract.

Existing or future goods.

5

5. (1) The goods which form the subject of a contract of sale may be either existing goods, owned or possessed by the seller, or goods to be manufactured or acquired by the seller after the making of the contract of sale, in this Act called “future goods.”

(2) There may be a contract for the sale of goods, the acquisition of which by the seller depends upon a contingency which may or may not happen.

(3) Where by a contract of sale the seller purports to effect a present sale of future goods, the contract operates as an agreement to sell the goods.

Goods which have perished.

6

6.Where there is a contract for the sale of specific goods, and the goods without the knowledge of the seller have perished at the time when the contract is made, the contract is void.

Goods perishing before sale but after agreement to sell.

7

7.Where there is an agreement to sell specific goods, and subsequently the goods, without any fault on the part of the seller or buyer, perish before the risk passes to the buyer, the agreement is thereby avoided.

The Price.

Ascertainment of price.

8

8. (1) The price in a contract of sale may be fixed by the contract, or may be left to be fixed in manner thereby agreed, or may be determined by the course of dealing between the parties.

(2) Where the price is not determined in accordance with the foregoing provisions the buyer must pay a reasonable price. What is a reasonable price is a question of fact dependent on the circumstances of each particular case.

Agreement to sell at valuation.

9

9. (1) Where there is an agreement to sell goods on the terms that the price is to be fixed by the valuation of a third party, and such third party cannot or does not make such valuation, the agreement is avoided; provided that if the goods or any part thereof have been delivered to and appropriated by the buyer he must pay a reasonable price therefor.

(2) Where such third party is prevented from making the valuation by the fault of the seller or buyer, the party not in fault may maintain an action for damages against the party in fault.

Conditions and Warranties.

Stipulations as to time.

10

10. (1) Unless a different intention appears from the terms of the contract, stipulations as to time of payment are not deemed to be of the essence of a contract of sale. Whether any other stipulation as to time is of the essence of the contract or not depends on the terms of the contract.

(2) In a contract of sale “ month” means primâ facie calendar month.

F2 [ When condition to be treated as warranty.

11

11. (1) Where a contract of sale is subject to any condition to be fulfilled by the seller, the buyer may waive the condition, or may elect to treat the breach of such condition as a breach of warranty, and not as a ground for treating the contract as repudiated.

(2) Whether a stipulation in a contract of sale is a condition, the breach of which may give rise to a right to treat the contract as repudiated, or a warranty, the breach of which may give rise to a claim for damages but not to a right to reject the goods and treat the contract as repudiated, depends in each case on the construction of the contract. A stipulation may be a condition, though called a warranty in the contract.

(3) Where a contract of sale is not severable, and the buyer has accepted the goods, or part thereof, the breach of any condition to be fulfilled by the seller can only be treated as a breach of warranty, and not as a ground for rejecting the goods and treating the contract as repudiated, unless there be a term of the contract, express or implied, to that effect.

(4) Nothing in this section shall affect the case of any condition or warranty, fulfilment of which is excused by law by reason of impossibility or otherwise. ]

Annotations:

Amendments:

F2

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 10, commenced as per s. 1(2).

F3 [ Implied undertaking as to title, etc.

12

12. (1) In every contract of sale, other than one to which subsection (2) applies, there is

( a ) an implied condition on the part of the seller that, in the case of a sale, he has a right to sell the goods and, in the case of an agreement to sell, he will have a right to sell the goods at the time when the property is to pass, and

( b ) an implied warranty that the goods are free, and will remain free until the time when the property is to pass, from any charge or encumbrance not disclosed to the buyer before the contract is made and that the buyer will enjoy quiet possession of the goods except so far as it may be disturbed by the owner or other person entitled to the benefit of any charge or encumbrance so disclosed.

(2) In a contract of sale, in the case of which there appears from the contract or is to be inferred from the circumstances of the contract an intention that the seller should transfer only such title as he or a third person may have, there is

( a ) an implied warranty that all charges or encumbrances known to the seller have been disclosed to the buyer before the contract is made, and

( b ) an implied warranty that neither

(i) the seller, nor

(ii) in a case where the parties to the contract intend that the seller should transfer only such title as a third person may have, that person, nor

(iii) anyone claiming through or under the seller or that third person otherwise than under a charge or encumbrance disclosed to the buyer before the contract is made,

will disturb the buyer's quiet possession of the goods. ]

Annotations:

Amendments:

F3

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 10, commenced as per s. 1(2).

Modifications (not altering text):

C8

Enforcement of section provided for (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 11, commenced as per s. 1(2).

Statements purporting to restrict rights of buyer.

11.— (1) Subsections (2) and (3) apply to any statement likely to be taken as indicating that a right or the exercise of a right conferred by, or a liability arising by virtue of, section 12, 13, 14 or 15 of the Act of 1893 is restricted or excluded otherwise than under section 55 of that Act.

(2) It shall be an offence for a person in the course of a business to do any of the following things in relation to a statement to which subsection (1) refers:

(a) to display on any part of any premises a notice that includes any such statement, or

(b) to publish or cause to be published an advertisement which contains any such statement, or

(c) to supply goods bearing, or goods in a container bearing, any such statement, or

(d) otherwise to furnish or to cause to be furnished a document including any such statement.

(3) For the purposes of this section a statement to the effect that goods will not be exchanged, or that money will not be refunded, or that only credit notes will be given for goods returned, shall be treated as a statement to which subsection (1) refers unless it is so clearly qualified that it cannot be construed as applicable in circumstances in which the buyer may be seeking to exercise a right conferred by any provision of a section mentioned in subsection (1).

(4) It shall be an offence for a person in the course of a business to furnish to a buyer goods bearing, or goods in a container bearing, or any document including, any statement, irrespective of its legal effect, which sets out, limits or describes rights conferred on a buyer or liabilities to the buyer in relation to goods acquired by him or any statement likely to be taken as such a statement, unless that statement is accompanied by a clear and conspicuous declaration that the contractual rights which the buyer enjoys by virtue of sections 12, 13, 14 and 15 of the Act of 1893 are in no way prejudiced by the relevant statement.

F4 [ Sale by description.

13

13. (1) Where there is a contract for the sale of goods by description, there is an implied condition that the goods shall correspond with the description; and if the sale be by sample as well as by description, it is not sufficient that the bulk of the goods corresponds with the sample if the goods do not also correspond with the description.

(2) A sale of goods shall not be prevented from being a sale by description by reason only that, being exposed for sale, they are selected by the buyer.

(3) A reference to goods on a label or other descriptive matter accompanying goods exposed for sale may constitute or form part of a description. ]

Annotations:

Amendments:

F4

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 10, commenced as per s. 1(2).

Modifications (not altering text):

C9

Enforcement of section provided for (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 11, commenced as per s. 1(2).

Statements purporting to restrict rights of buyer.

11.— (1) Subsections (2) and (3) apply to any statement likely to be taken as indicating that a right or the exercise of a right conferred by, or a liability arising by virtue of, section 12, 13, 14 or 15 of the Act of 1893 is restricted or excluded otherwise than under section 55 of that Act.

(2) It shall be an offence for a person in the course of a business to do any of the following things in relation to a statement to which subsection (1) refers:

( a ) to display on any part of any premises a notice that includes any such statement, or

( b ) to publish or cause to be published an advertisement which contains any such statement, or

( c ) to supply goods bearing, or goods in a container bearing, any such statement, or

( d ) otherwise to furnish or to cause to be furnished a document including any such statement.

(3) For the purposes of this section a statement to the effect that goods will not be exchanged, or that money will not be refunded, or that only credit notes will be given for goods returned, shall be treated as a statement to which subsection (1) refers unless it is so clearly qualified that it cannot be construed as applicable in circumstances in which the buyer may be seeking to exercise a right conferred by any provision of a section mentioned in subsection (1).

(4) It shall be an offence for a person in the course of a business to furnish to a buyer goods bearing, or goods in a container bearing, or any document including, any statement, irrespective of its legal effect, which sets out, limits or describes rights conferred on a buyer or liabilities to the buyer in relation to goods acquired by him or any statement likely to be taken as such a statement, unless that statement is accompanied by a clear and conspicuous declaration that the contractual rights which the buyer enjoys by virtue of sections 12, 13, 14 and 15 of the Act of 1893 are in no way prejudiced by the relevant statement.

F5 [ Implied undertakings as to quality or fitness.

14

14. (1) Subject to the provisions of this Act and of any statute in that behalf, there is no implied condition or warranty as to the quality or fitness for any particular purpose of goods supplied under a contract of sale.

(2) Where the seller sells goods in the course of a business there is an implied condition that the goods supplied under the contract are of merchantable quality, except that there is no such condition

( a ) as regards defects specifically drawn to the buyer's attention before the contract is made, or

( b ) if the buyer examines the goods before the contract is made, as regards defects which that examination ought to have revealed.

(3) Goods are of merchantable quality if they are as fit for the purpose or purposes for which goods of that kind are commonly bought and as durable as it is reasonable to expect having regard to any description applied to them, the price (if relevant) and all the other relevant circumstances, and any reference in this Act to unmerchantable goods shall be construed accordingly.

(4) Where the seller sells goods in the course of a business and the buyer, expressly or by implication, makes known to the seller any particular purpose for which the goods are being bought, there is an implied condition that the goods supplied under the contract are reasonably fit for that purpose, whether or not that is a purpose for which such goods are commonly supplied, except where the circumstances show that the buyer does not rely, or that it is unreasonable for him to rely, on the seller's skill or judgement.

(5) An implied condition or warranty as to quality or fitness for a particular purpose may be annexed to a contract of sale by usage.

(6) The foregoing provisions of this section apply to a sale by a person who in the course of a business is acting as agent for another as they apply to a sale by a principal in the course of a business, except where that other is not selling in the course of a business and either the buyer knows that fact or reasonable steps are taken to bring it to the notice of the buyer before the contract is made. ]

Annotations:

Amendments:

F5

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 10, commenced as per s. 1(2).

Modifications (not altering text):

C10

Enforcement of section provided for (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 11, commenced as per s. 1(2).

Statements purporting to restrict rights of buyer.

11.—(1) Subsections (2) and (3) apply to any statement likely to be taken as indicating that a right or the exercise of a right conferred by, or a liability arising by virtue of, section 12, 13, 14 or 15 of the Act of 1893 is restricted or excluded otherwise than under section 55 of that Act.

(2) It shall be an offence for a person in the course of a business to do any of the following things in relation to a statement to which subsection (1) refers:

(a) to display on any part of any premises a notice that includes any such statement, or

(b) to publish or cause to be published an advertisement which contains any such statement, or

(c) to supply goods bearing, or goods in a container bearing, any such statement, or

(d) otherwise to furnish or to cause to be furnished a document including any such statement.

(3) For the purposes of this section a statement to the effect that goods will not be exchanged, or that money will not be refunded, or that only credit notes will be given for goods returned, shall be treated as a statement to which subsection (1) refers unless it is so clearly qualified that it cannot be construed as applicable in circumstances in which the buyer may be seeking to exercise a right conferred by any provision of a section mentioned in subsection (1).

(4) It shall be an offence for a person in the course of a business to furnish to a buyer goods bearing, or goods in a container bearing, or any document including, any statement, irrespective of its legal effect, which sets out, limits or describes rights conferred on a buyer or liabilities to the buyer in relation to goods acquired by him or any statement likely to be taken as such a statement, unless that statement is accompanied by a clear and conspicuous declaration that the contractual rights which the buyer enjoys by virtue of sections 12, 13, 14 and 15 of the Act of 1893 are in no way prejudiced by the relevant statement.

Sale by Sample.

F6 [ Sale by sample.

15

15. (1) A contract of sale is a contract for sale by sample where there is a term in the contract, express or implied, to that effect.

(2) In the case of a contract for sale by sample

( a ) There is an implied condition that the bulk shall correspond with the sample in quality:

( b ) There is an implied condition that the buyer shall have a reasonable opportunity of comparing the bulk with the sample:

( c ) There is an implied condition that the goods shall be free from any defect, rendering them unmerchantable, which would not be apparent on reasonable examination of the sample. ]

Annotations:

Amendments:

F6

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 10, commenced as per s. 1(2).

Modifications (not altering text):

C11

Enforcement of section provided for (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 11, commenced as per s. 1(2).

Statements purporting to restrict rights of buyer.

11.— (1) Subsections (2) and (3) apply to any statement likely to be taken as indicating that a right or the exercise of a right conferred by, or a liability arising by virtue of, section 12, 13, 14 or 15 of the Act of 1893 is restricted or excluded otherwise than under section 55 of that Act.

(2) It shall be an offence for a person in the course of a business to do any of the following things in relation to a statement to which subsection (1) refers:

( a ) to display on any part of any premises a notice that includes any such statement, or

( b ) to publish or cause to be published an advertisement which contains any such statement, or

( c ) to supply goods bearing, or goods in a container bearing, any such statement, or

( d ) otherwise to furnish or to cause to be furnished a document including any such statement.

(3) For the purposes of this section a statement to the effect that goods will not be exchanged, or that money will not be refunded, or that only credit notes will be given for goods returned, shall be treated as a statement to which subsection (1) refers unless it is so clearly qualified that it cannot be construed as applicable in circumstances in which the buyer may be seeking to exercise a right conferred by any provision of a section mentioned in subsection (1).

(4) It shall be an offence for a person in the course of a business to furnish to a buyer goods bearing, or goods in a container bearing, or any document including, any statement, irrespective of its legal effect, which sets out, limits or describes rights conferred on a buyer or liabilities to the buyer in relation to goods acquired by him or any statement likely to be taken as such a statement, unless that statement is accompanied by a clear and conspicuous declaration that the contractual rights which the buyer enjoys by virtue of sections 12, 13, 14 and 15 of the Act of 1893 are in no way prejudiced by the relevant statement.

Part II.

Effects of the Contract.

Transfer of Property as between Seller and Buyer.

Goods must be ascertained.

16

16.Where there is a contract for the sale of unascertained goods no property in the goods is transferred to the buyer unless and until the goods are ascertained.

Property passes when intended to pass.

17

17. (1) Where there is a contract for the sale of specific or ascertained goods the property in them is transferred to the buyer at such time as the parties to the contract intend it to be transferred.

(2) For the purpose of ascertaining the intention of the parties regard shall be had to the terms of the contract, the conduct of the parties, and the circumstances of the case.

Rules for ascertaining intention.

18

18.Unless a different intention appears, the following are rules for ascertaining the intention of the parties as to the time at which the property in the goods is to pass to the buyer.

Rule 1.—Where there is an unconditional contract for the sale of specific goods, in a deliverable state, the property in the goods passes to the buyer when the contract is made, and it is immaterial whether the time of payment or the time of delivery, or both, be postponed.

Rule 2.—Where there is a contract for the sale of specific goods and the seller is bound to do something to the goods, for the purpose of putting them into a deliverable state, the property does not pass until such thing be done, and the buyer has notice thereof.

Rule 3.—Where there is a contract for the sale of specific goods in a deliverable state, but the seller is bound to weigh, measure, test, or do some other act or thing with reference to the goods for the purpose of ascertaining the price, the property does not pass until such act or thing be done, and the buyer has notice thereof.

Rule 4.—When goods are delivered to the buyer on approval or “on sale or return” or other similar terms the property therein passes to the buyer:—

( a) When he signifies his approval or acceptance to the seller or does any other act adopting the transaction:

( b) If he does not signify his approval or acceptance to the seller but retains the goods without giving notice of rejection, then, if a time has been fixed for the return of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reasonable time. What is a reasonable time is a question of fact.

Rule 5.—(1) Where there is a contract for the sale of unascertained or future goods by description, and goods of that description and in a deliverable state are unconditionally appropriated to the contract, either by the seller with the assent of the buyer, or by the buyer with the assent of the seller, the property in the goods thereupon passes to the buyer. Such assent may be express or implied, and may be given either before or after the appropriation is made:

(2) Where, in pursuance of the contract, the seller delivers the goods to the buyer or to a carrier or other bailee or custodier (whether named by the buyer or not) for the purpose of transmission to the buyer, and does not reserve the right of disposal, he is deemed to have unconditionally appropriated the goods to the contract.

Reservation of right of disposal.

19

19. (1) Where there is a contract for the sale of specific: goods or where goods are subsequently appropriated to the contract, the seller may, by the terms of the contract or appropriation, reserve the right of disposal of the goods until certain conditions are fulfilled. In such case, notwithstanding the delivery of the goods to the buyer, or to a carrier or other bailee or custodier for the purpose of transmission to the buyer, the property in the goods does not pass to the buyer until the conditions imposed by the seller are fulfilled.

(2) Where goods are shipped, and by the bill of lading the goods are deliverable to the order of the seller or his agent, the seller is primâ facie deemed to reserve the right of disposal.

(3) Where the seller of goods draws on the buyer for the price, and transmits the bill of exchange and bill of lading to the buyer together to secure acceptance or payment of the bill of exchange, the buyer is bound to return the bill of lading if he does not honour the bill of exchange, and if he wrongfully retains the bill of lading the property in the goods does not pass to him.

F7 [ Passing of risk

20

20. (1) Unless otherwise agreed, the goods remain at the seller s risk until the property therein is transferred to the buyer, but when the property therein is transferred to the buyer, the goods are at the buyer s risk whether delivery has been made or not.

(2) Where delivery has been delayed through the fault of either buyer or seller, the goods are at the risk of the party in fault as regards any loss which might not have occurred but for such fault.

(3) Subsections (1) and (2) do not apply to a contract of sale where

( a ) the buyer deals as consumer, and

( b ) the seller dispatches the goods to the buyer.

(4) Where subsection (3) applies, the goods remain at the seller s risk until the buyer, or a person indicated by the buyer for this purpose, acquires the physical possession of the goods.

(5) Subsection (4) does not apply where the goods are delivered to a carrier who

( a ) was commissioned by the buyer for the purpose of carrying the goods, and

( b ) was not proposed by the seller for that purpose.

(6) Where subsection (5) applies, the goods are at the buyer s risk upon delivery to the carrier.

(7) Subsection (5) is without prejudice to the rights of the buyer, or the liability of the carrier, in respect of the goods. ]

Annotations:

Amendments:

F7

Substituted (13.06.2014) by European Union (Consumer Information, Cancellation and Other Rights) Regulations 2013 (S.I. No. 484 of 2013), reg. 29.

Transfer of Title.

Sale by person not owner.

21

21. (1) Subject to the provisions of this Act, where goods are sold by a person who is not the owner thereof, and who does not sell them under the authority or with the consent of the owner, the buyer acquires no better title to the goods than the seller had, unless the owner of the goods is by his conduct precluded from denying the seller’s authority to sell.

(2) Provided also that nothing in this Act shall affect—

( a) The provisions of the Factors Acts, or any enactment enabling the apparent owner of goods to dispose of them as if he were the true owner thereof;

( b) The validity of any contract of sale under any special common law or statutory power of sale or under the order of a court of competent jurisdiction.

Market overt.

22

22. (1) Where goods are sold in market overt, according to the usage of the market, the buyer acquires a good title to the goods, provided he buys them in good faith and without notice of any defect or want of title on the part of the seller.

(2) Nothing in this section shall affect the law relating to the sale of horses.

(3) The provisions of this section do not apply to Scotland.

Sale under voidable title.

23

23.When the seller of goods has a voidable title thereto, but his title has not been avoided at the time of the sale, the buyer acquires a good title to the goods, provided he buys them in good faith and without notice of the seller’s defect of title.

Revesting of property in stolen goods on conviction of offender.

24

24. F8 [ ]

Annotations:

Amendments:

F8

Repealed (1.08.2002) by Criminal Justice (Theft and Fraud Offences) Act 2001 (50/2001), s. 3(1) and sch. 1, S.I. No. 252 of 2002.

Seller or buyer in possession after sale.

25

25. (1) Where a person having sold goods continues or is in possession of the goods, or of the documents of title to the goods, the delivery or transfer by that person, or by a mercantile agent acting for him, of the goods or documents of title under any sale, pledge, or other disposition thereof, to any person receiving the same in good faith and without notice of the previous sale, shall have the same effect as if the person making the delivery or transfer were expressly authorised by the owner of the goods to make the same.

(2) Where a person having bought or agreed to buy goods obtains, with the consent of the seller, possession of the goods or the documents of title to the goods, the delivery or transfer by that person, or by a mercantile agent acting for him, of the goods or documents of title, under any sale, pledge, or other disposition thereof, to any person receiving the same in good faith and without notice of any lien or other right of the original seller in respect of the goods, shall have the same effect as if the person making the delivery or transfer were a mercantile agent in possession of the goods or documents of title with the consent of the owner.

(3) In this section the term “ mercantile agent” has the same meaning as in the Factors Acts.

Effect of writs of execution.

26

26. (1) A writ of fieri facias or other writ of execution against goods shall bind the property in the goods of the execution debtor as from the time when the writ is delivered to the sheriff to be executed; and, for the better manifestation of such time, it shall be the duty of the sheriff, without fee, upon the receipt of any such writ to endorse upon the back thereof the hour, day, month, and year when he received the same.

Provided that no such writ shall prejudice the title to such goods acquired by any person in good faith and for valuable consideration, unless such person had at the time when he acquired his title notice that such writ or any other writ by virtue of which the goods of the execution debtor might be seized or attached had been delivered to and remained unexecuted in the hands of the sheriff.

(2) In this section the term “ sheriff” includes any officer charged with the enforcement of a writ of execution.

(3) The provisions of this section do not apply to Scotland.

Part III.

Performance of the Contract.

Duties of seller and buyer.

27

27.It is the duty of the seller to deliver the goods, and of the buyer to accept and pay for them, in accordance with the terms of the contract of sale.

Payment and delivery are concurrent conditions.

28

28.Unless otherwise agreed, delivery of the goods and payment of the price are concurrent conditions, that is to say, the seller must be ready and willing to give possession of the goods to the buyer in exchange for the price, and the buyer must be ready and willing to pay the price in exchange for possession of the goods.

Rules as to delivery.

29

29. (1) Whether it is for the buyer to take possession of the goods or for the seller to send them to the buyer is a question depending in each case on the contract, express or implied, between the parties. Apart from any such contract, express or implied, the place of delivery is the seller’s place of business, if he have one, and if not, his residence: Provided that, if the contract be for the sale of specific goods, which to the knowledge of the parties when the contract is made are in some other place, then that place is the place of delivery.

(2) 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.

F9 [ (2A) Where the buyer deals as consumer

( a ) subsection (2) does not apply, and

( b ) subsections (2B) to (2F) apply.

(2B) Unless the parties have agreed otherwise, the seller shall deliver the goods by transferring the physical possession or control of the goods to the buyer without undue delay and not later than 30 days from the conclusion of the contract.

(2C) If the seller does not deliver the goods at the time agreed with the buyer, the buyer may require the seller to make the delivery within an additional period of time appropriate to the circumstances.

(2D) Subsection (2C) does not apply if

( a ) the seller has refused to deliver the goods,

( b ) delivery of the goods within the time agreed with the buyer is essential, taking into account all the relevant circumstances at the time of the conclusion of the contract, or

( c ) the buyer has informed the seller prior to the conclusion of the contract that delivery on or by a specified date is essential.

(2E) Where the seller

( a ) fails to deliver the goods within any additional period of time for delivery applicable under subsection (2C), or

( b ) fails to deliver the goods

(i) within the time agreed with the buyer under subsection (2D)( b ), or

(ii) on or by the date the date specified by the buyer under subsection (2D)( c ),

the buyer may treat the failure as a breach of a condition of the contract which entitles the buyer to repudiate the contract.

(2F) If the buyer repudiates the contract in accordance with subsection (2E), the seller shall, without undue delay, reimburse all sums paid under the contract. ]

(3) Where the goods at the time of sale are in the possession of a third person, there is no delivery by seller to buyer unless and until such third person acknowledges to the buyer that he holds the goods on his behalf; provided that nothing in this section shall affect the operation of the issue or transfer of any document of title to goods.

(4) Demand or tender of delivery may be treated as ineffectual unless made at a reasonable hour. What is a reasonable hour is a question of fact.

(5) Unless otherwise agreed, the expenses of and incidental to putting the goods into a deliverable state must be borne by the seller.

Annotations:

Amendments:

F9

Inserted (13.06.2014) by European Union (Consumer Information, Cancellation and Other Rights) Regulations 2013 (S.I. No. 484 of 2013), reg. 30.

Delivery of wrong quantity.

30

30. (1) Where the seller delivers to the buyer a quantity of goods less than he contracted to sell, the buyer may reject them, but if the buyer accepts the goods so delivered he must pay for them at the contract rate.

(2) Where the seller delivers to the buyer a quantity of goods larger than he contracted to sell, the buyer may accept the goods included in the contract and reject the rest, or he may reject the whole. If the buyer accepts the whole of the goods so delivered he must pay for them at the contract rate.

(3) Where the seller delivers to the buyer the goods he contracted to sell mixed with goods of a different description not included in the contract, the buyer may accept the goods which are in accordance with the contract and reject the rest, or he may reject the whole.

(4) The provisions of this section are subject to any usage of trade, special agreement, or course of dealing between the parties.

Instalment deliveries.

31

31. (1) Unless otherwise agreed, the buyer of goods is not bound to accept delivery thereof by instalments.

(2) Where there is a contract for the sale of goods to be delivered by stated instalments, which are to be separately paid for, and the seller makes defective deliveries in respect of one or more instalments, or the buyer neglects or refuses to take delivery of or pay for one or more instalments, it is a question in each case depending on the terms of the contract and the circumstances of the case, whether the breach of contract is a repudiation of the whole contract or whether it is a severable breach giving rise to a claim for compensation but not to a right to treat the whole contract as repudiated.

Delivery to carrier.

32

32. (1) Where, in pursuance of a contract of sale, the seller is authorised or required to send the goods to the buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer is primâ facie deemed to be a delivery of the goods to the buyer.

(2) Unless otherwise authorised by the buyer, the seller must make such contract with the carrier on behalf of the buyer as may be reasonable having regard to the nature of the goods and the other circumstances of the case. If the seller omit so to do, and the goods are lost or damaged in course of transit, the buyer may decline to treat the delivery to the carrier as a delivery to himself, or may hold the seller responsible in damages.

(3) Unless otherwise agreed, where goods are sent by the seller to the buyer by a route involving sea transit, under circumstances in which it is usual to insure, the seller must give such notice to the buyer as may enable him to ensure them during their sea transit, and, if the seller fails to do so, the goods shall be deemed to be at his risk during such sea transit.

F10 [ (4) In a contract of sale where the buyer deals as consumer, subsections (1) to (3) do not apply. ]

Annotations:

Amendments:

F10

Inserted (13.06.2014) by European Union (Consumer Information, Cancellation and Other Rights) Regulations 2013 (S.I. No. 484 of 2013), reg. 31.

Risk where goods are delivered at distant place.

33

33.Where the seller of goods agrees to deliver them at his own risk at a place other than that where they are when sold, the buyer must, nevertheless, unless otherwise agreed, take any risk of deterioration in the goods necessarily incident to the course of transit.

Buyer’s right of examining the goods.

34

F11 [ 34. (1) Where goods are delivered to the buyer, which he has not previously examined, he is not deemed to have accepted them unless and until he has had a reasonable opportunity of examining them for the purpose of ascertaining whether they are in conformity with the contract.

(2) Unless otherwise agreed, when the seller tenders delivery of goods to the buyer, he is bound, on request, to afford the buyer a reasonable opportunity of examining the goods for the purpose of ascertaining whether they are in conformity with the contract. ]

Annotations:

Amendments:

F11

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 20, commenced as per s. 1(2).

F12 [ Acceptance.

35

35. The buyer is deemed to have accepted the goods when he intimates to the seller that he has accepted them, or, subject to section 34 of this Act, when the goods have been delivered to him and he does any act in relation to them which is inconsistent with the ownership of the seller or when, without good and sufficient reason, he retains the goods without intimitating to the seller that he has rejected them. ]

Annotations:

Amendments:

F12

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 20, commenced as per s. 1(2).

Buyer not bound to return rejected goods.

36

36.Unless otherwise agreed, where goods are delivered to the buyer, and he refuses to accept them, having the right so to do, he is not bound to return them to the seller, but it is sufficient if he intimates to the seller that he refuses to accept them.

Liability of buyer for neglecting or refusing delivery of goods.

37

37.When the seller is ready and willing to deliver the goods, and requests the buyer to take delivery, and the buyer does not within a reasonable time after such request take delivery of the goods, he is liable to the seller for any loss occasioned by his neglect or refusal to take delivery, and also for a reasonable charge for the care and custody of the goods. Provided that nothing in this section shall affect the rights of the seller where the neglect or refusal of the buyer to take delivery amounts to a repudiation of the contract.

Part IV.

Rights of Unpaid Seller against the Goods.

Unpaid seller defined.

38

38. (1) The seller of goods is deemed to be an “ unpaid seller” within the meaning of this Act—

( a) When the whole of the price has not been paid or tendered;

( b) When a bill of exchange or other negotiable instrument has been received as conditional payment, and the condition on which it was received has not been fulfilled by reason of the dishonour of the instrument or otherwise.

(2) In this part of this Act the term “ seller” includes any person who is in the position of a seller, as, for instance, an agent’ of the seller to whom the bill of lading has been indorsed, or a consignor or agent who has himself paid, or is directly responsible for, the price.

Unpaid seller’s rights.

39

39. (1) Subject to the provisions of this Act, and of any statute in that behalf, notwithstanding that the property in the goods may have passed to the buyer, the unpaid seller of goods, as such, has by implication of law—

( a) A lien on the goods or right to retain them for the price while he is in possession of them;

( b) In case of the insolvency of the buyer, a right of stopping the goods in transitu after he has parted with the possession of them;

( c) A right of re-sale as limited by this Act.

(2) Where the property in goods has not passed to the buyer, the unpaid seller has, in addition to his other remedies, a right of withholding delivery similar to and co-extensive with his rights of lien and stoppage in transitu where the property has passed to the buyer.

Attachment by seller in Scotland.

40

40.In Scotland a seller of goods may attach the same while in his own hands or possession by arrestment or poinding; and such arrestment or poinding shall have the same operation and effect in a competition or otherwise as an arrestment or poinding by a third party.

Unpaid Seller’s Lien.

Seller’s lien.

41

41. (1) Subject to the provisions of this Act, the unpaid seller of goods who is in possession of them is entitled to retain possession of them until payment or tender of the price in the following cases, namely:—

( a) Where the goods have been sold without any stipulation as to credit;

( b) Where the goods have been sold on credit, but the term of credit has expired;

( c) Where the buyer becomes insolvent.

(2) The seller may exercise his right of lien notwithstanding that he is in possession of the goods as agent or bailee or custodier for the buyer.

Part delivery.

42

42.Where an unpaid seller has made part delivery of the goods, he may exercise his right of lien or retention on the remainder, unless such part delivery has been made under such circumstances as to show an agreement to waive the lien or right of retention.

Termination of lien.

43

43. (1) The unpaid seller of goods loses his lien or right of retention thereon—

( a) When he delivers the goods to a carrier or other bailee or custodier for the purpose of transmission to the buyer without reserving the right of disposal of the goods;

( b) When the buyer or his agent lawfully obtains possession of the goods;

( c) By waiver thereof.

(2) The unpaid seller of goods, having a lien or right of retention thereon, does not lose his lien or right of retention by reason only that he has obtained judgment or decree for the price of the goods.

Stoppage in transitu.

Right of stoppage in transitu.

44

44.Subject to the provisions of this Act, when the buyer of goods becomes insolvent, the unpaid seller who has parted with the possession of the goods has the right of stopping them in transitu, that is to say, he may resume possession of the goods as long as they are in course of transit, and may retain them until payment or tender of the price.

Duration of transit.

45

45. (1) Goods are deemed to be in course of transit from; the time when they are delivered to a carrier by land or water, or other bailee or custodier for the purpose of transmission to the buyer, until the buyer, or his agent in that behalf, takes delivery of them from such carrier or other bailee or custodier.

(2) If the buyer or his agent in that behalf obtains delivery of the goods before their arrival at the appointed destination, the transit is at an end.

(3) If, after the arrival of the goods at the appointed destination, the carrier or other bailee or custodier acknowledges to the buyer, or his agent, that he holds the goods on his behalf and continues in possession of them as bailee or custodier for the buyer, or his agent, the transit is at an end, and it is immaterial that a further destination for the goods may have been indicated by the buyer.

(4) If the goods are rejected by the buyer, and the carrier or other bailee or custodier continues in possession of them, the transit is not deemed to be at an end, even if the seller has refused to receive them back.

(5) When goods are delivered to a ship chartered by the buyer it is a question depending on the circumstances of the particular case, whether they are in the possession of the master as a carrier, or as agent to the buyer.

(6) Where the carrier or other bailee or custodier wrongfully refuses to deliver the goods to the buyer, or his agent in that behalf, the transit is deemed to be at an end.

(7) Where part delivery of the goods has been made to the buyer, or his agent in that behalf, the remainder of the goods may be stopped in transitu, unless such part delivery has been made under such circumstances as to show an agreement to give up possession of the whole of the goods.

How stoppage in transitu is effected.

46

46. (1) The unpaid seller may exercise his right of stoppage in transitu either by taking actual possession of the goods, or by giving notice of his claim to the carrier or other bailee or custodier in whose possession the goods are. Such notice may be given either to the person in actual possession of the goods or to his principal. In the latter case the notice, to be effectual, must be given at such time and under such circumstances that the principal, by the exercise of reasonable diligence, may communicate it to his servant or agent in time to prevent a delivery to the buyer.

(2) When notice of stoppage in transitu is given by the seller to the carrier, or other bailee or custodier in possession of the goods, he must re-deliver the goods to, or according to the directions of, the seller. The expenses of such re-delivery must be borne by the seller.

Re-sale by Buyer or Seller.

Effect of sub-sale or pledge by buyer.

47

47.Subject to the provisions of this Act, the unpaid seller’s right of lien or retention or stoppage in transitu is not affected by any sale, or other disposition of the goods which the buyer may have made, unless the seller has assented thereto.

Provided that where a document of title to goods has been lawfully transferred to any person as buyer or owner of the goods, and that person transfers the document to a person who takes the document in good faith and for valuable consideration, then, if such last-mentioned transfer was by way of sale the unpaid seller’s right of lien or retention or stoppage in transitu is defeated, and if such last-mentioned transfer was by way of pledge or other disposition for value, the unpaid seller’s right of lien or retention or stoppage in transitu can only be exercised subject to the rights of the transferee.

Sale not generally rescinded by lien or stoppage in transitu.

48

48. (1) Subject to the provisions of this section, a contract of sale is not rescinded by the mere exercise by an unpaid seller of his right of lien or retention or stoppage in transitu.

(2) Where an unpaid seller who has exercised his right of lien or retention or stoppage in transitu re-sells the goods, the buyer acquires a good title thereto as against the original buyer.

(3) Where the goods are of a perishable nature, or where the unpaid seller gives notice to the buyer of his intention to re-sell, and the buyer does not within a reasonable time pay or tender the price, the unpaid seller may re-sell the goods and recover from the original buyer damages for any loss occasioned by his breach of contract.

(4) Where the seller expressly reserves a right of re-sale in case the buyer should make default, and on the buyer making default, re-sells the goods, the original contract of sale is thereby rescinded, but without prejudice to any claim the seller may have for damages.

Part V.

Actions for Breach of the Contract.

Remedies of the Seller.

Action for price.

49

49. (1) Where, under a contract of sale, the property in the goods has passed to the buyer, and the buyer wrongfully neglects or refuses to pay for the goods according to the terms of the contract, the seller may maintain an action against him for the price of the goods.

(2) Where, under a contract of sale, the price is payable on a day certain irrespective of delivery, and the buyer wrongfully neglects or refuses to pay such price, the seller may maintain an action for the price, although the property in the goods has not passed, and the goods have not been appropriated to the contract.

(3) Nothing in this section shall prejudice the right of the seller in Scotland to recover interest on the price from the date of tender of the goods, or from the date on which the price was payable, as the case may be.

Damages for non-acceptance.

50

50. (1) Where the buyer wrongfully neglects or refuses to accept and pay for the goods, the seller may maintain an action against him for damages for non-acceptance.

(2) The measure of damages is the estimated loss directly and naturally resulting, in the ordinary course of events, from the buyer’s breach of contract.

(3) Where there is an available market for the goods in question the measure of damages is primâ facie to be ascertained by the difference between the contract price and the market or current price at the time or times when the goods ought to have been accepted, or, if no time was fixed for acceptance, then at the time of the refusal to accept.

Remedies of the Buyer.

Damages for non-delivery.

51

51. (1) Where the seller wrongfully neglects or refuses to deliver the goods to the buyer, the buyer may maintain an action against the seller for damages for non-delivery.

(2) The measure of damages is the estimated loss directly and naturally resulting, in the ordinary course of events, from the seller’s breach of contract.

(3) Where there is an available market for the goods in question the measure of damages is primâ facie to be ascertained by the difference between the contract price and the market or current price of the goods at the time or times when they ought to have been delivered, or, if no time was fixed, then at the time of the refusal to deliver.

Specific performance.

52

52.In any action for breach of contract to deliver specific or ascertained goods the court may, if it thinks fit, on the application of the plaintiff, by its judgment or decree direct that the contract shall be performed specifically, without giving the defendant the option of retaining the goods on payment of damages. The judgment or decree may be unconditional, or upon such terms and conditions as to damages, payment of the price, and otherwise, as to the court may seem just, and the application by the plaintiff may be made at any time before judgment or decree.

The provisions of this section shall be deemed to be supplementary to, and not in derogation of, the right of specific implement in Scotland.

F13 [ Remedy for breach of warranty.

53

53. (1) Subject to subsection (2), where there is a breach of warranty by the seller, or where the buyer elects, or is compelled, to treat any breach of a condition on the part of the seller as a breach of warranty, the buyer is not by reason only of such breach of warranty entitled to reject the goods, but he may

( a ) set up against the seller the breach of warranty in diminution or extinction of the price, or

( b ) maintain an action against the seller for damages for the breach of warranty.

(2) Where

( a ) the buyer deals as consumer and there is a breach of a condition by the seller which, but for this subsection, the buyer would be compelled to treat as a breach of warranty, and

( b ) the buyer, promptly upon discovering the breach, makes a request to the seller that he either remedy the breach or replace any goods which are not in conformity with the condition,

then, if the seller refuses to comply with the request or fails to do so within a reasonable time, the buyer is entitled:

(i) to reject the goods and repudiate the contract, or

(ii) to have the defect constituting the breach remedied elsewhere and to maintain an action against the seller for the cost thereby incurred by him.

(3) The onus of proving that the buyer acted with promptness under subsection (2) shall lie on him.

(4) The measure of damages for breach of warranty is the estimated loss directly and naturally resulting, in the ordinary course of events, from the breach of warranty.

(5) In the case of breach of warranty of quality such loss is prima facie the difference between the value of the goods at the time of delivery to the buyer and the value they would have had if they had answered to the warranty.

(6) The fact that the buyer has set up the breach of warranty in diminution or extinction of the price or that the seller has replaced goods or remedied a breach does not of itself prevent the buyer from maintaining an action for the same breach of warranty if he has suffered further damage. ]

Annotations:

Amendments:

F13

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 21, commenced as per s. 1(2).

Interest and special damages.

54

54.Nothing in this Act shall affect the right of the buyer or the seller to recover interest or special damages in any case where by law interest or special damages may be recoverable, or to recover money paid where the consideration for the payment of it has failed.

Part VI.

Supplementary.

F14 [ Exclusion of implied terms and conditions.

55

55. (1) Subject to the subsequent provisions of this section, where any right, duty or liability would arise under a contract of sale of goods by implication of law, it may be negatived or varied by express agreement, or by the course of dealing between the parties, or by usage if the usage is such as to bind both parties to the contract.

(2) An express condition or warranty does not negative a condition or warranty implied by this Act unless inconsistent therewith.

(3) In the case of a contract of sale of goods, any term of that or any other contract exempting from all or any of the provisions of section 12 of this Act shall be void.

(4) In the case of a contract of sale of goods, any term of that or any other contract exempting from all or any of the provisions of section 13, 14 or 15 of this Act shall be void where the buyer deals as consumer and shall, in any other case, not be enforceable unless it is shown that it is fair and reasonable.

(5) Subsection (4) shall not prevent the court from holding, in accordance with any rule of law, that a term which purports to exclude or restrict any of the provisions of section 13, 14 or 15 of this Act is not a term of the contract.

(6) Any reference in this section to a term exempting from all or any of the provisions of any section of this Act is a reference to a term which purports to exclude or restrict, or has the effect of excluding or restricting, the operation of all or any of the provisions of that section, or the exercise of a right conferred by any provision of that section, or any liability of the seller for breach of a condition or warranty implied by any provision of that section.

(7) Any reference in this section to a term of a contract includes a reference to a term which although not contained in a contract is incorporated in the contract by another term of the contract.

(8) This section is subject to section 61 (6) of this Act. ]

Annotations:

Amendments:

F14

Substituted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 22, commenced as per s. 1(2).

Modifications (not altering text):

C12

Application of section extended (19.05.1997) by European Communities (Contracts For Time Sharing of Immovable Property — Protection of Purchasers) Regulations 1997 (S.I. No. 204 of 1997), reg. 12.

Contracting out of obligation or denial of rights under Regulations not binding

12.— Any clause of a contract whereby a purchaser renounces the purchaser's freedom or rights under these Regulations or whereby a vendor is freed from the vendor's responsibilities arising from these Regulations shall not be binding on the purchaser, under conditions as set out in sections 55 of the Sale of Goods Act, 1893, (as inserted by section 22 of the Sale of Goods and Supply of Services Act, 1980), and section 40 (1) of the Sale of Goods and Supply of Services Act, 1980.

C13

Term "fair and reasonable" construed (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 2(3), commenced as per s. 1(2).

Interpretation generally.

2.— ...

(3) Where, under section 13, 31, 40 or 46 of this Act or under section 55 of the Act of 1893 (inserted by section 22 of this Act), a question arises as to whether a term, agreement or provision is fair and reasonable regard shall be had to the criteria set out in the Schedule in deciding it.

Schedule

1.— In determining for the purposes of section 13, 31, 40 or 46 of this Act or section 55 of the Act of 1893 (inserted by section 22 of this Act) if a term is fair and reasonable the test is that it shall be a fair and reasonable one to be included having regard to the circumstances which were, or ought reasonably to have been, known to or in contemplation of the parties when the contract was made.

...

C14

Application of subs. (1) restricted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 12(3), commenced as per s. 1(2).

Implied warranty for spare parts and servicing.

12.—...

(3) Notwithstanding section 55 (1) of the Act of 1893 (inserted by section 22 of this Act) any term of a contract exempting from all or any of the provisions of this section shall be void.

C15

Application of subs. (1) restricted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 13(9), commenced as per. s. 1(2).

Implied condition on sale of motor vehicles.

13.— ...

(9) Notwithstanding section 55 (1) of the Act of 1893 (inserted by section 22 of this Act) any term of a contract exempting from all or any of the provisions of this section shall be void.

F15 [ Conflict of laws.

55A

55A. Where the proper law of a contract of sale of goods would, apart from a term that it should be the law of some other country or a term to the like effect, be the law of Ireland or where any such contract contains a term which purports to substitute, or has the effect of substituting, provisions of the law of some other country for all or any of the provisions of sections 12 to 15 and 55 of this Act, those sections shall, notwithstanding that term but subject to section 61 (6) of this Act, apply to the contract. ]

Annotations:

Amendments:

F15

Inserted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 23, commenced as per s. 1(2).

Reasonable time a question of fact.

56

56.Where, by this Act, any reference is made to a reasonable time the question what is a reasonable time is a question of fact.

Rights, &c. enforceable by action.

57

57.Where any right, duty, or liability is declared by this Act, it may, unless otherwise by this Act provided, be enforced by action.

Auction sales.

58

58.In the case of a sale by auction—

(1) Where goods are put up for sale by auction in lots, each lot is primâ facie deemed to be the subject of a separate contract of sale:

(2) A sale by auction is complete when the auctioneer announces its completion by the fall of the hammer, or in other customary manner. Until such announcement is made any bidder may retract his bid:

(3) Where a sale by auction is not notified to be subject to a right to bid on behalf of the seller, it shall not be lawful for the seller to bid himself or to employ any person to bid at such sale, or for the auctioneer knowingly to take any bid from the seller or any such person: Any sale contravening this rule may be treated as fraudulent by the buyer:

(4) A sale by auction may be notified to be subject to a reserved or upset price, and a right to bid may also be reserved expressly by or on behalf of the seller.

Where a right to bid is expressly reserved, but not otherwise, the seller, or any one person on his behalf, may bid at the auction.

Payment into court in Scotland when breach of warranty alleged.

59

59.In Scotland where a buyer has elected to accept goods which he might have rejected, and to treat a breach of contract as only giving rise to a claim for damages, he may, in an action by the seller for the price, be required, in the discretion of the court before which the action depends, to consign or pay into court the price of the goods, or part thereof, or to give other reasonable security for the due payment thereof.

Repeals.

60

60. F16 [ ]

Annotations:

Amendments:

F16

Repealed (21.12.1908) by Statute Law Revision Act 1908 (8 Edw. 7 c. 49), commenced on enactment.

Savings.

61

61. (1) The rules in bankruptcy relating to contracts of sale shall continue to apply thereto, notwithstanding anything in this Act contained.

(2) The rules of the common law, including the law merchant, save in so far as they are inconsistent with the express provisions of this Act, and in particular the rules relating to the law of principal and agent and the effect of fraud, misrepresentation, duress or coercion, mistake, or other invalidating cause, shall continue to apply to contracts for the sale of goods.

(3) Nothing in this Act or in any repeal effected thereby shall affect the enactments relating to bills of sale, or any enactment relating to the sale of goods which is not expressly repealed by this Act.

(4) The provisions of this Act relating to contracts of sale do not apply to any transaction in the form of a contract of sale which is intended to operate by way of mortgage, pledge, charge, or other security.

(5) Nothing in this Act shall prejudice or affect the landlord’s right of hypothec or sequestration for rent in Scotland.

F17 [ (6) ( a ) Nothing in section 55 or 55A of this Act shall prevent the parties to a contract for the international sale of goods from negativing or varying any right, duty or liability which would otherwise arise by implication of law under sections 12 to 15 of this Act.

( b ) In this subsection contract for the international sale of goods means a contract of sale of goods made by parties whose places of business (or, if they have none, habitual residences) are in the territories of different States and in the case of which one of the following conditions is satisfied:

(i) the contract involves the sale of goods which are at the time of the conclusion of the contract in the course of carriage or will be carried from the territory of one State to the territory of another; or

(ii) the acts constituting the offer and acceptance have been effected in the territories of different States; or

(iii) delivery of the goods is to be made in the territory of a State other than that within whose territory the acts constituting the offer and the acceptance have been effected. ]

Annotations:

Amendments:

F17

Inserted (31.12.1980) by Sale of Goods and Supply of Services Act 1980 (16/1980), s. 24, commenced as per s. 1(2).

Modifications (not altering text):

C16

Application of subs. (6) restricted (22.01.2003) by European Communities (Certain Aspects of the Sale of Consumer Goods and Associated Guarantees) Regulations 2003 (S.I. No. 11 of 2003), reg. 4.

Choice of law provisions.

4.— (1) A consumer shall not be deprived of the protection afforded by these Regulations as a result of his or her choosing as the law applicable to the contract the law of a non-Member State if the contract has a close connection with the territory of the Member States.

(2) Paragraph (1) shall have effect notwithstanding section 61(6) of the Sale of Goods Act 1893.

Interpretation of terms.

52 & 53 Vict. c. 45.

53 & 54 Vict. c. 40.

62

62. (1) In this Act, unless the context or subject matter otherwise requires,—

Action” includes counterclaim and set off, and in Scotland condescendence and claim and compensation:

Bailee” in Scotland includes custodier:

Buyer” means a person who buys or agrees to buy goods:

Contract of sale” includes an agreement to sell as well as a sale:

Defendant” includes in Scotland defender, respondent, and claimant in a multiplepoinding:

Delivery” means voluntary transfer of possession from one person to another:

Document of title to goods” has the same meaning as it has in the Factors Acts:

Factors Acts” means the Factors Act, 1889, the Factors (Scotland) Act, 1890, and any enactment amending or substituted for the same:

Fault” means wrongful act or default:

Future goods” means goods to be manufactured or acquired by the seller after the making of the contract of sale:

Goods” include all chattels personal other than things in action and money, and in Scotland all corporeal moveables except money. The term includes emblements, industrial growing crops, and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale:

Lien” in Scotland includes right of retention:

Plaintiff” includes pursuer, complainer, claimant in a multiplepoinding and defendant or defender counter-claiming:

Property” means the general property in goods, and not merely a special property:

Quality of goods” includes their state or condition:

Sale” includes a bargain and sale as well as a sale and delivery.

Seller” means a person who sells or agrees to sell goods:

Specific goods” means goods identified and agreed upon at the time a contract of sale is made:

Warranty” as regards England and Ireland means an agreement with reference to goods which are the subject of a contract of sale, but collateral to the main purpose of such contract, the breach of which gives rise to a claim for damages, but not to a right to reject the goods and treat the contract as repudiated.

As regards Scotland, a breach of warranty shall be deemed to be a failure to perform a material part of the contract.

(2) A thing is deemed to be done “ in good faith” within the meaning of this Act when it is in fact done honestly, whether it be done negligently or not.

(3) A person is deemed to be insolvent within the meaning of this Act who either has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due, whether he has committed an act of bankruptcy or not, and whether he has become a notour bankrupt or not.

(4) Goods are in a “ deliverable state” within the meaning of this Act when they are in such a state that the buyer would under the contract be bound to take delivery of them.

Commencement.

63

63. F18 [ ]

Annotations:

Amendments:

F18

Repealed (21.12.1908) by Statute Law Revision Act 1908 (8 Edw. 7 c. 49), commenced on enactment.

Short title.

64

64.This Act may be cited as the Sale of Goods Act, 1893.

SCHEDULE

F19 [ ]

Annotations:

Amendments:

F19

Repealed (21.12.1908) by Statute Law Revision Act 1908 (8 Edw. 7 c. 49), commenced on enactment.