Sale of Goods Act, 1930

Description: This quiz covers the key concepts and provisions of the Sale of Goods Act, 1930, an important legislation governing the sale and purchase of goods in India.
Number of Questions: 15
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Tags: sale of goods act indian contract act commercial law
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What is the primary purpose of the Sale of Goods Act, 1930?

  1. To regulate the sale and purchase of goods in India

  2. To protect the rights of consumers

  3. To promote fair trade practices

  4. To provide a legal framework for resolving disputes related to the sale of goods


Correct Option: A
Explanation:

The Sale of Goods Act, 1930 is a comprehensive legislation that governs the sale and purchase of goods in India. It aims to provide a legal framework for the smooth functioning of commercial transactions involving the sale of goods.

Which of the following is NOT a condition for a valid sale of goods contract under the Sale of Goods Act, 1930?

  1. The subject matter of the contract must be goods

  2. The price of the goods must be agreed upon

  3. The parties to the contract must be competent to contract

  4. The contract must be in writing


Correct Option: D
Explanation:

Under the Sale of Goods Act, 1930, a sale of goods contract is valid even if it is not in writing. However, certain types of contracts, such as contracts for the sale of goods worth more than Rs. 10,000, must be in writing to be enforceable.

What is the implied condition of merchantability under the Sale of Goods Act, 1930?

  1. The goods must be fit for the purpose for which they are ordinarily used

  2. The goods must be of satisfactory quality

  3. The goods must be free from defects

  4. The goods must be accurately described


Correct Option: A
Explanation:

The implied condition of merchantability under the Sale of Goods Act, 1930 requires that the goods must be fit for the purpose for which they are ordinarily used. This means that the goods must be of a quality that is acceptable for their intended use.

What is the remedy available to a buyer who receives goods that do not conform to the contract?

  1. The buyer can reject the goods

  2. The buyer can accept the goods and claim damages

  3. The buyer can rescind the contract

  4. All of the above


Correct Option: D
Explanation:

Under the Sale of Goods Act, 1930, a buyer who receives goods that do not conform to the contract has the right to reject the goods, accept the goods and claim damages, or rescind the contract. The buyer's choice of remedy will depend on the specific circumstances of the case.

What is the time limit for a buyer to give notice of rejection of goods under the Sale of Goods Act, 1930?

  1. Within a reasonable time after the buyer discovers the defect

  2. Within 14 days after the buyer receives the goods

  3. Within 30 days after the buyer receives the goods

  4. Within 60 days after the buyer receives the goods


Correct Option: A
Explanation:

Under the Sale of Goods Act, 1930, a buyer must give notice of rejection of goods within a reasonable time after the buyer discovers the defect. What constitutes a reasonable time will depend on the circumstances of the case.

What is the implied condition of title under the Sale of Goods Act, 1930?

  1. The seller must have the right to sell the goods

  2. The goods must be free from any encumbrances

  3. The seller must deliver the goods to the buyer

  4. All of the above


Correct Option: D
Explanation:

The implied condition of title under the Sale of Goods Act, 1930 requires that the seller must have the right to sell the goods, the goods must be free from any encumbrances, and the seller must deliver the goods to the buyer.

What is the difference between an express warranty and an implied warranty under the Sale of Goods Act, 1930?

  1. An express warranty is created by a statement made by the seller, while an implied warranty is created by law

  2. An express warranty is always written, while an implied warranty is always oral

  3. An express warranty can be excluded or modified by agreement between the parties, while an implied warranty cannot

  4. None of the above


Correct Option: A
Explanation:

An express warranty is created by a statement made by the seller that is intended to induce the buyer to enter into the contract. An implied warranty, on the other hand, is created by law and does not require any statement from the seller.

What is the remedy available to a buyer who suffers loss or damage due to a breach of warranty under the Sale of Goods Act, 1930?

  1. The buyer can claim damages

  2. The buyer can rescind the contract

  3. The buyer can reject the goods

  4. All of the above


Correct Option: D
Explanation:

Under the Sale of Goods Act, 1930, a buyer who suffers loss or damage due to a breach of warranty has the right to claim damages, rescind the contract, or reject the goods. The buyer's choice of remedy will depend on the specific circumstances of the case.

What is the time limit for a buyer to give notice of breach of warranty under the Sale of Goods Act, 1930?

  1. Within a reasonable time after the buyer discovers the breach

  2. Within 14 days after the buyer receives the goods

  3. Within 30 days after the buyer receives the goods

  4. Within 60 days after the buyer receives the goods


Correct Option: A
Explanation:

Under the Sale of Goods Act, 1930, a buyer must give notice of breach of warranty within a reasonable time after the buyer discovers the breach. What constitutes a reasonable time will depend on the circumstances of the case.

What is the difference between a sale and an agreement to sell under the Sale of Goods Act, 1930?

  1. In a sale, the property in the goods passes immediately to the buyer, while in an agreement to sell, the property in the goods remains with the seller until the goods are delivered

  2. In a sale, the buyer is liable to pay the price of the goods even if they are not delivered, while in an agreement to sell, the buyer is not liable to pay the price of the goods until they are delivered

  3. In a sale, the seller is responsible for any loss or damage to the goods until they are delivered, while in an agreement to sell, the buyer is responsible for any loss or damage to the goods until they are delivered

  4. All of the above


Correct Option: D
Explanation:

In a sale, the property in the goods passes immediately to the buyer, the buyer is liable to pay the price of the goods even if they are not delivered, and the seller is responsible for any loss or damage to the goods until they are delivered. In an agreement to sell, the property in the goods remains with the seller until the goods are delivered, the buyer is not liable to pay the price of the goods until they are delivered, and the buyer is responsible for any loss or damage to the goods until they are delivered.

What is the implied condition of fitness for a particular purpose under the Sale of Goods Act, 1930?

  1. The goods must be fit for the purpose for which the buyer requires them

  2. The seller must be aware of the buyer's particular purpose

  3. The buyer must rely on the seller's skill and judgment

  4. All of the above


Correct Option: D
Explanation:

The implied condition of fitness for a particular purpose under the Sale of Goods Act, 1930 requires that the goods must be fit for the purpose for which the buyer requires them, the seller must be aware of the buyer's particular purpose, and the buyer must rely on the seller's skill and judgment.

What is the remedy available to a buyer who receives goods that are not fit for a particular purpose under the Sale of Goods Act, 1930?

  1. The buyer can reject the goods

  2. The buyer can accept the goods and claim damages

  3. The buyer can rescind the contract

  4. All of the above


Correct Option: D
Explanation:

Under the Sale of Goods Act, 1930, a buyer who receives goods that are not fit for a particular purpose has the right to reject the goods, accept the goods and claim damages, or rescind the contract. The buyer's choice of remedy will depend on the specific circumstances of the case.

What is the time limit for a buyer to give notice of rejection of goods that are not fit for a particular purpose under the Sale of Goods Act, 1930?

  1. Within a reasonable time after the buyer discovers the defect

  2. Within 14 days after the buyer receives the goods

  3. Within 30 days after the buyer receives the goods

  4. Within 60 days after the buyer receives the goods


Correct Option: A
Explanation:

Under the Sale of Goods Act, 1930, a buyer must give notice of rejection of goods that are not fit for a particular purpose within a reasonable time after the buyer discovers the defect. What constitutes a reasonable time will depend on the circumstances of the case.

What is the implied condition of quiet possession under the Sale of Goods Act, 1930?

  1. The buyer must have undisturbed possession of the goods

  2. The seller must warrant that the buyer will have undisturbed possession of the goods

  3. The buyer must be free from any claims or encumbrances on the goods

  4. All of the above


Correct Option: D
Explanation:

The implied condition of quiet possession under the Sale of Goods Act, 1930 requires that the buyer must have undisturbed possession of the goods, the seller must warrant that the buyer will have undisturbed possession of the goods, and the buyer must be free from any claims or encumbrances on the goods.

What is the remedy available to a buyer who is disturbed in their possession of the goods under the Sale of Goods Act, 1930?

  1. The buyer can claim damages

  2. The buyer can rescind the contract

  3. The buyer can sue the seller for breach of warranty

  4. All of the above


Correct Option: D
Explanation:

Under the Sale of Goods Act, 1930, a buyer who is disturbed in their possession of the goods has the right to claim damages, rescind the contract, or sue the seller for breach of warranty. The buyer's choice of remedy will depend on the specific circumstances of the case.

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