Saturday, April 24, 2010

Review - Exceptions applied in SOGA


The operation of Estoppel - The owner by his conduct makes it appear to the buyer that the person who sells the goods has the authority of the owner to sell it. Based on the conduct of the owner, buyer has a better title than the owner, because the owner is precluded by his conduct from the seller' authority to sell the goods. (Section 27, Sale of Goods Act 1957)


Sale by mercantile agent - The owner of the property distributes the authority of selling his goods to an agent. Any sale made by this agent shall be valid due to whatever sales done by the agent is acted on the behalf of the real owner. (Section 27, Sale of Goods Act 1957)


Sale by One of Joint Owners - Sometimes, it may be more than one person to have the same good. One of the co-owner has the sole possession of the good. If one of the co-owner sell the good to a buyer on a good faith, and the buyer had no notice that the seller had the authority to sell it. Therefore, the course of transaction is valid. (Section 28, Sale of Goods Act 1957)


Sale under a Voidable Title -When the seller acquires the possession of a good under a voidable contract. The goods is sold to the buyer who is with a good faith and doesn't know the defect of the seller's title.(Section 29, Sale of Good Act 1957)


Sale by a Seller in Possession after Sale - When the Seller or the person acts on behalf of owner sells the same good to more than one buyer and still has the possession of good or the document of title of the good. Provided that a buyer receive the good in good faith, the buyer shall get a good title of the goods and the seller is liable to compensate the first buyer. (Section 30(1), Sale of Good Act 1957)


Sale by a Buyer in Possession -  If a buyer has brought a good from a seller with obtaining the possession or the document of title with the consent of seller. The buyer can resell the good and transfer a good title to the next buyer in good faith, although the first buyer has not obtained a good title in the first transaction. (Section 30(2), Sale of Good Act 1957)

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