Buyer, Seller and Goods

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

Seller:
Seller means a person who sells or agrees to
sell goods.
 Buyer, Seller and Goods
Goods:
The term “Goods” includes every kind of
movable property expect (i) actionable claims
and (ii) money.
An actionable claims means a debt or a claim
for money which a person may have against
another and which he may recover by suit.
Money means legal tender money.

These two types of movable property are not

included in the definition of the term goods as
used in the Sale or Goods Act. All other types of
movable property are “goods’ under the Act.
 Buyer, Seller and Goods
Existing Goods:
Existing goods are goods which are already in
existence and which are physically present in
some person’s possession and ownership.
Existing goods may be either (i) Specific and
Ascertained of (ii) Generic and Unascertained.
Specific Goods are goods which can be clearly
identified and recognized as separate things
e.g. a particular picture by a painter; a ring with
distinctive features; goods identified and agreed
upon at the time of the contract of sale etc.
The term Ascertained Goods is used in the
same sense as Specific Goods.
 Buyer, Seller and Goods
Future Goods:
Future Goods are goods which will be
manufactured or produced or acquired by the
seller after the making of the contract of sale.
Example :
P agrees to sale to Q all the mangoes which will be
produced in his garden next year. This is an
agreement for the sale of future goods.
 Buyer, Seller and Goods
Contingent Goods:
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. In such cases the goods sold are called
Contingent Goods. Contingent goods come
within the class of future goods.

Example :
X agrees to sale to Y a certain ring provided he is
able to purchase it from its present owner. This is
an agreement for the sale of contingent goods.
 Sale and Agreement to Sale
Sell :
A contract for the sale of goods may be
either a sale or an agreement to sell. Where
under a contract of sale the property in the
goods (i.e. the ownership) is transferred from
seller to the buyer the contract is called a
sale.
 Sale and Agreement to Sale
Agreement to Sell :
When the transfer to ownership is to take
place at a future time or subject to some
condition to be fulfilled later, the contract is
called an agreement to sell.
When an agreement to sell become a sale ?
A agreement to sell becomes a sale when the
prescribed time elapses or the conditions,
subject to which the property in the goods is
to be transferred, are fulfilled.
 Differences Between A Sale
and An Agreement to Sale
1. Transfer of ownership.
2. Transfer of Risk.
3. Remedial Measures.
4. Nature of Contract.