Monday, August 31, 2009

Rights of resale

Rights of resale:

The unpaid seller can re sell the goods---

1.where the goods are of a perishable mature; or

2.where he gives notice to the buyer of his intension to re-sell the goods and the buyer tender price.

If an resale there is a loss to the seller he can claim it from the buyer as damages for breach of contract. If there is a surplus on the resale, he is not bound to hand it over to the buyer because the buyer cannot be a allowed.

Right of withholding delivery:

Where the property in goods has not passed to the buyer an unpaid seller has in addition to his other remedies, a right of withholding delivery similar to has passed to the buyer.

The unpaid seller is not entitled—

1.to recover any losses on the re sale of the goods; and

2.to retain any surplus arising on the re sale of the goods.

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