Section 37 of The Sale of Goods Act, 1930
- (1)Where the seller delivers to the buyer a quantity of goods less than he contracted to sell, the buyer may reject them, but it the buyer accepts the goods so delivered he shall pay for them at the contract rate.
- (2)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 the buyer accepts the whole of the goods so delivered, he shall pay for them at the contract rate.
- (3)Where the seller delivers to the buyer the goods he contracted to sell mixed with 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 may reject the whole.
- (4)The provisions of this section are subject to any usage of trade, special agreement or course of dealing between the parties.
Summary
- If a seller delivers fewer goods than ordered, the buyer can reject them all or keep them and pay the contract rate for what they received.
- If a seller delivers more goods than ordered, the buyer can keep the correct amount and reject the rest, or reject everything.
- If the buyer chooses to keep all of the excess goods delivered, they must pay for all of them at the contract rate.
- If ordered goods come mixed with goods of a different description, the buyer can accept the correct ones and reject the rest, or reject all of them.
- These rules can be changed by a special agreement, trade customs, or previous ways of dealing between the parties.
Practical examples
FAQ
1. Can I reject an order if the quantity is wrong under the Sale of Goods Act?
Yes, Section 37 of the Sale of Goods Act, 1930, allows a buyer to reject the whole delivery if the quantity is less or more than what was contracted.
2. What do I pay if I keep extra items sent by a seller under the Sale of Goods Act?
According to Section 37 of the Sale of Goods Act, 1930, if you accept the whole quantity delivered, you must pay for them at the contract rate.
3. What if my order is mixed with different goods under the Sale of Goods Act?
Section 37 of the Sale of Goods Act, 1930, says you can accept the goods that match your order and reject the rest, or you can reject the whole lot.
Test yourself
Q1.Under Section 37 of the Sale of Goods Act, 1930, what rate must a buyer pay if they accept a smaller quantity of goods than ordered?
Q2.If a seller delivers more goods than contracted, which of these is NOT an option for the buyer under Section 37 of the Sale of Goods Act, 1930?
Q3.Under Section 37 of the Sale of Goods Act, 1930, what can a buyer do if their ordered goods are mixed with goods of a different description?
Q4.What takes priority over the quantity rules in Section 37 of the Sale of Goods Act, 1930?