Types of Goods | Sale of Goods Act, 1930 – Judiciary Exams – Free PDF Download

Sales of Goods Act

DEFINITIONS

• Section 2 of the Sale of Goods Act, 1930 defines the terms which have been  frequently used in the Act, which are  as follows –

“goods”

• means every kind of moveable property other than actionable claims and money; and includes stock and shares, growing crops, grass, and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale; [Sub Section (7)].

Existing or future goods

• The subject matter of contract must always be goods. The goods may be  existing or future goods Section 6).

Existing Goods

• Goods which are owned or possessed by the seller at the time of making the  contract of sale are called existing  goods
• The existing goods may be:
• Specific goods: goods identified and agreed upon at the time of making of  the contract of sale.
• Ascertained goods: Goods identified

ascertained goods.

Unascertained or generic goods:

• Goods which are not specificially identified by the buyer, But are contracted on basis of Description.

EXAMPLE

• Sunny goes to car Centre to purchase a car. Dealer has 20 models of different companies in his shop,  these different models shall be called Unascertained goods .
• Now Sunny Likes cars of  different models of particular company now these models are Ascertained goods
• Then Sunny selected a particular car of TATA company now this car is a specific good

Future Goods

• Thoses goods which a seller does not possess or own at the time of the  contract. It is to be manufactured or  produced or acquired by the seller  after making the contract of sale.

Example

• C agree to buy the entire production of cotton that would yield in D’s farm, at the rate of 1000 per quintal. This is an agreement of sale of  future goods not in possession of the  seller at the time of contract,they can  become the subject matter of an  agreement to sell only and not of sale.

Contingent Goods

• Goods the acquisition of which by the seller depends upon a contingency which may or  may not happen [(Section 6(2)].

Example

• P contracts to sell 50 pieces of particular article provided the ship  which is bringing them reaches the  port safely. This is an agreement for  the sale of contingent goods.

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