Q.What is a Contract of Sale of Goods ?

Under Section 4 of the Sale of Goods Act, 1930, a contract of sale of goods is a contract by which the seller transfers or agrees to transfer the ownership of goods to the buyer for a price.

A contract of sale of goods is the basic contract governed by the Sale of Goods Act, 1930, which every Class-12 Commerce student in the Tamil Nadu HSC syllabus studies as the starting point of business law.

Meaning: In it, the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration called the price. The presence of money as consideration is essential — if goods are exchanged for goods, it is a barter, not a sale.

It is a genus with two species:

• Sale: where the ownership in the goods passes from the seller to the buyer immediately at the time the contract is made. It is an executed contract. …