Sale of Goods is defined in section 1(1)of the Sale of Goods Act,1893 as“A contract where by the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration called the price”.
This means that in addition to the ordinary elements of a contract, two other element, goods and money consideration, must also be present in a contract of sale of goods. .
A contract for the sale of goods yet to be manufactured is an agreement to sell because the property in the goods cannot pass until they are manufactured and ascertained. That the definition of a contract of sale is recognized in terms of two transactions is indicated by section 1(3) of the Act which states that, “where under a contract of sale the property in the goods is transferred from the seller to the buyer, the contract is called a sale; but where the transfer of the property in the goods is to take place at a future time orsubject to some conditions thereafter to be fulfilled, the contract is called an agreement to sell.
The Sale of Goods Act 1979 is an Act of the United Kingdom which regulates contracts in which goods aresold and bought. The sale of Goods Act performs several functions. Buyer is a person that who wants to buy something from seller and seller is a person that sells out something that a buyer wants. To purely define sales of Goods act, it is a contracts in which goods are sold and bought, it means whereby the seller transfer the property in the goods to the Buyer for a consideration called price.
The Sale of Goods Act lays down a small number of compulsory legal rules concerned with an array of presumptions and implied terms, which aim to reflect the commercial expectations in the most commonly agreed sales contracts. In the absence of contrary agreement these terms will govern a contract with in the Act’s remit. Now that the law has imposed more responsibility on the seller which will be able to protect all buyers, because, nowadays, the modern law has proved that buyers has become more and more driven to rely on the honesty, skill and judgment of the seller. In many situations, the rules contained in the act only apply where the parties have failed to make express arrangements as to their obligations.
A contract of sale is a legal contract an exchange of goods, services or property to bee exchanged from seller to buyer for an agreed upon value in money paid or the promise to pay same. It is a specific type of legal contract. In Section 61, good includes all personal chattels but excludes all the services or chooses in action or money. Products of the soil are generally sold with a view to severance and though they may sometimes be of the nature of land for the purpose of the Law of property (Miscellaneous Provisions) Act 1989, they are usually goods within the meaning of the Act of 1979. Nor would crops sold with the land on which they are growing because they are not in such a case to be ‘severed before sale or under the contract of
sale’ as section 61 requires.