Acceptance of Delivery

Delivery of wrong Quantity:

Wrong quantity may be either ‘short delivery’, ‘excess delivery’ or ‘mixed delivery’.

Short delivery: Where the seller delivers to the buyer a quantity of goods less than the contracted to sell, the buyer may reject the goods delivered. If the buyer accepts the goods so delivered he shall pay for them at the contract rate. the buyer by accepting less quantity, does not preclude himself from claiming damages for short delivery.

Excess delivery: 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 he accepts the whole of the goods he must pay for them at the contract rate.

Mixed delivery, for example, mixed with other goods: Where the seller delivers to the buyer the goods he contracted to sell mixed with other 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.

Where the goods not ordered, when delivered are of the same description, but inferior quality, there is no mixture and the buyer cannot reject those only which are of inferior quality and keep the rest. He has to accept or reject the whole. The section applies only where goods are mixed with different description.

Acceptance of goods by the buyer:

Examining goods: The buyer is not deemed to have accepted the good 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. 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. Right of inspection may be waived. It may also be excluded by agreement the parties.

When accepted? The buyer is deemed to have accepted the goods when:

1) he intimates to the seller that he has accepted them; or
2) where goods have been delivered to him and he does any act in relation to the goods which is inconsistent with the ownership of the seller, for example, he pledges the goods, or sends the goods to his sub-purchaser or when he re-sells them.
3) When after the lapse of a reasonable time, he retains the goods without intimating to the seller that he has rejected them. The buyer after direct or indirect acceptance cannot reject the goods. He may be however, entitled to damages.

Buyer not bound to return the rejected goods: Unless otherwise agreed where goods are delivered to the buyer and he refuses to accept them he is not bound to return the rejected goods to the seller. Mere intimation to the seller that he refuses to accept is sufficient. The goods are then at the seller’s risk.

Buyer’s liability for rejecting, neglecting or refusing delivery of the goods:

Where the seller is ready and willing to deliver the goods and requests the buyer to take delivery, and the buyer does not take delivery of the goods within a reasonable time after such request, he is liable to the seller for —

1) any loss occasioned by his neglect or refusal to take delivery; and also for
2) a reasonable charge for the care and custody of the goods

Provided that where the neglect or refusal of the buyer to take delivery amounts to a repudiation of the contract, the seller may sue for the price or for damages.

Rights and Duties of the Buyer:

Rights>

1) to receive delivery of the goods
2) to repudiate the contract, if the seller commits breach of contract;
3) To have reasonable opportunity to examine the goods;
4) To sue the seller for damages for non-delivery of the goods;
5) To recover the amount paid if the seller fails to deliver the goods;
6) To sue the seller for specific per6formance of the contract;
7) To sue seller for damages from breach of warranty
8) In case of breach of contract by the seller, when the buyer sues for the refund of the price, the buyer has a right to claim interest on the amount of price paid from the date on which the payment was made.
Duties:

1) to pay for the goods and take delivery thereof:
2) to apply for the delivery of goods as the seller is not bound to deliver the goods until the buyer applies for delivery;
3) to compensate the seller for any loss occasioned by his neglect or refusal to take delivery of the goods and also for reasonable charge or care and custody of the goods.

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