Under the Sale of Goods Act, 1930, A sold the goods on credit to B and delivered the goods to the…
Once the seller completed delivery of the goods to the buyer's shipping agent, his lien as an unpaid seller over those goods came to an end, and their later return to the…
Choose your answer
Under the Sale of Goods Act, 1930, A sold the goods on credit to B and delivered the goods to the buyer's shipping agent who had put them on board a ship. However, the goods were returned to the seller for repacking. When the goods were still with the seller, the buyer became insolvent. The seller being unpaid refuses to return the goods. Examine the following options and decide the correct one.
Answer and explanation
Correct answer C
Once the seller completed delivery of the goods to the buyer's shipping agent, his lien as an unpaid seller over those goods came to an end, and their later return to the seller solely for repacking does not revive that lien, so the goods remain the buyer's property despite the buyer's subsequent insolvency.
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