BBA 1st Semester Business Low Notes


Business Low Notes :-

  • The Warehouse has two rooms, one inner and the other The goods which have been sold are lying in the inner room. The seller hands over to the buyer the key to the inner room and retains the key to the outer room. Has delivery of the goods taken place?
  • A bought of B some cargo on board a ship at sea. B endorsed the bill lading relating to the cargo and handed it over to A along with other documents against payment. On the arrival of the ship at port, A fails to get delivery of the goods from the Master of the ship and sues B for non-delivery of the Is A entitled to sue B ?
  • A bought a horse from B and paid for it. B asked A to lend him the horse for a week to which A assented and let him keep the horse in his Is there a delivery of the horse to A ?
  • The contract of sale provided that on the arrival of the railway receipt and the invoice, the buyer should receive them on payment of the price. The seller gave notice of the arrival of the goods, and awaits demand by the buyer for delivery and does not send the goods to the buyer. The buyer sues the seller for damages for failure to deliver the goods. Will he succeed?
  • A bought some goods from B on one week’s credit and left them with D. Later on, he sold them to C and give him a delivery order on C was unable to get delivery from
  1. Meanwhile, A unaware of the non-delivery paid the price to B, and sued C to recover it from him on the ground that he had to pay B by the failure of C to inform him of non-delivery of the goods. Will A succeed in getting the price from C ?
  • A sold 32 logs of wood to B on approval. After inspection B rejected the logs, asked A to take them away and sued for the return of Rs.300 which he had advanced on the transaction. The suit was decreed but the goods were destroyed by fire. A demands from B the price of the goods on the ground that he had failed to send back the goods. Will he succeed ?
  • A sold certain goods to B to be delivered by instalments to be paid for in cash 14 days after delivery? During the currency of the contract, B became insolvent and the price of one instalment was unpaid. A refused to deliver further instalments. Is he justified in his action?
  • A sold certain goods to B and handed them over to B for examination While the goods were in B’s possession for the purpose, B became insolvent, and A exercised his right of lien. Is his action valid ?
  • A sold certain goods to B and forward to him a bill of lading endorsed in blank together with a bill of exchange for the price of the goods for acceptance. B without accepting the bill of exchange made over the bill of lading to C who acting in good faith paid him for the Can A stop the goods in transit ?
  • A sold certain goods to B, and B resold them to C and then became insolvent. The bill of lading was made out in the name of C but not delivered to him and so he had not paid for Can A stop the goods in transit?
  • A bought from B a shipment of nuts and B sent to A the bill of lading. A handed the bill of lading to C in return for a loan, and then became

B-attemped to stop the goods in transit, but C claimed them. How would you decide? Answers :

  • No, there is no symbolic delivery as there is no access to the
  • No, A is not entitled to sue B for non-delivery by the Master of the ship. The handing over of the bill of lading to A against payment amounted to delivery of the goods. He can sue the shipping company for damages and not the seller .
  • Yes, the horse had been delivered to
  • No, although the seller has to be ready and willing to deliver the goods, he is not bound to deliver unless the buyer demands delivery on payment of the
  • No, A cannot get the price from C because, although the goods were purchased they were not delivered, Also a buyer who has not obtained delivery is not in law bound to inform the seller that he has failed to obtain
  • A has no right to demand the price of the goods from B who had rejected them had and also asked B to remove them. A buyer is not bound to return the goods that he has rejected; and as he is only a bailee for them, he is not responsible for any loss of goods due to
  • A is justified in his refusal to deliver further instalments. The seller need not make further deliveries unless the price of that instalment is paid and cash is paid against the delivery of subsequent
  • Yes, A can exercise his right of lien; for putting the goods into the possession of the buyer only for examination does amount to surrender of lien. The goods are still deemed to be in the possession of the
  • ‘No, A cannot stop the goods in transit. The transfer of the bill of lading (document of title) to a sub-buyer who pays the price destroys the right of the seller to stop the goods in
  • Yes, A can stop the goods in transit for the purchase The bill of lading, though made out in the name of C was not delivered to him so that he did become the owner of the goods.
  • C got good, title to the goods which defeated B’s right to stop them in transit. In the result, B cannot stop the goods in transit and C can get their possession as

( BBA 1st Semester Business Low Notes )

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