Contract of sale Table of content 1. The seller’s duty to protect 2. The seller’s duty to deliver 3. 1 The meaning of delivery 3. 2 How delivery occurs 3. The seller’s ability for latent defects 4. 3 General principles 4. 4 Requirements for liability 4. 5 Scope of the seller’s liability 4. 6 Waiver at the time of conclusion of the agreement 4. 7 Latent defects in repairs 4. The manufacture & dealer’s liability for latent defect 5. Liability on the grounds of the seller 6. The sellers liability for eviction
Introduction A contract of sale is a legal contract and exchange of goods, services to be exchanged from seller to buyer for an agreed upon value in money paid or the promise to pay same. 1. The seller’s duty to protect The seller’s primary obligations are to transfer ownership of the goods and deliver the goods. A seller may agree to package or label the thing in a certain way or service the thing for a specific period of time. The seller’s is obliged to take care of the thing until it is delivered.
The seller must exercise the care of a reasonable person in caring for the thing in question. The seller is liable for breach of contract if the thing is destroyed through his/her intentional or negligent carelessness. The seller is liable for breach of contract if the thing is destroyed through his/her intentional or negligent carelessness. However, in the absence of an explicit term excluding risk, the purchase carries the risk of the thing being accidentally damaged while still in the possession of the seller.
If the purchase remain in breach to receive the thing, the seller can only be held liable if the thing is damaged or perishes because of his/her intention or gross negligence. 2. The seller’s duty to deliver 3. 1 The seller is obliged to deliver the thing to the purchaser. Delivery of the goods shall be made by the supplier in accordance with the terms specified in the contract. The details of shipping and other documents to be furnished by the supplier are specified in special conditions of contract.
The seller must make the thing available to the purchase and not necessarily that the seller must search for and find the purchase in order to deliver the thing. It is the seller’s duty to make “delivery” which does not refer to a physical delivery but merely means that the seller must permit the transfer of possession of the goods to the buyer. The delivery must be made in accordance with the terms of contract to sell. 3. 2 How delivery occurs 3. 3. 1 Movables A distinction is made between actual and constructive delivery.
If the contract requires the seller to make delivery as a destination point, the duty of the seller is the same as though were dealing with the buyer face to face, rather than placing the goods in the possession of a carrier. However, if any documents are issued by the carriers that are necessary to obtain possession of the goods, the seller must also tender such documents. 3. 3. 2 Actual delivery Is the handing over of a thing 3. 3. 3 Constructive delivery The thing may be pointed out or something symbolic may be handed over.
The purchaser may already be in possession of the thing and then the ownership is transferred sometime later. 3. 3 What must be delivered Things to be delivered by the supplier are specified in special conditions of contract. If a buyer gas bought a specific object, it has to be delivered and must be in the same condition as it was when the contract of sale was concluded. The seller has a duty to take care of the thing purchase until the time of delivery. The seller must also deliver all accessories and attachments that belong with the object to the extent that these are not excluded by the contract.
The seller must also deliver to the purchaser the entire thing and profits that the thing yield after the conclusion of the contract of sale. 3. The seller’s liability for latent defects 4. 4 General principles 4. 5 Requirements for liability 4. 6 Scope of the seller’s liability 4. 7 Waiver at the time of conclusion of the agreement 4. 8 Latent defects in repairs 4. The manufacturer and dealer’s liability for latent defects 5. Liability on the grounds of dicta et promissa of the seller 6. The seller’s liability for eviction
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