Rights and Duties of Buyer

The buyer in a contract of sale has both rights and duties governed by the Sale of Goods Act, 1930. These ensure fairness in commercial transactions and balance responsibilities between buyer and seller.

Rights of the Buyer:

• Right to Delivery of Goods (Section 31)

The buyer has the right to receive delivery of goods as per the terms of the contract. If the seller fails to deliver within the stipulated time or condition, the buyer may refuse delivery, cancel the contract, or claim damages. This ensures protection against non-performance by the seller.

• Right to Reject Goods (Section 37 & 41)

The buyer has the right to reject goods that do not conform to quality, quantity, or description agreed in the contract. This includes rejecting defective, damaged, or excess goods. The right to reject reinforces quality control and encourages compliance by the seller.

• Right to Examine Goods (Section 41)

The buyer is entitled to a reasonable opportunity to inspect and examine the goods upon delivery. This ensures that the goods match the sample, description, or specifications. If not satisfied, the buyer may refuse to accept them. Inspection must be allowed before the buyer is deemed to have accepted the goods.

• Right to Sue for Non-Delivery (Section 57)

If the seller refuses to deliver goods, the buyer can sue for damages caused by non-delivery. The measure of damages is the difference between the contract price and market price on the date of breach. This right compensates the buyer for losses due to breach.

• Right to Sue for Breach of Warranty (Section 59)

When the seller breaches a warranty (minor term), the buyer can claim compensation rather than reject the goods. This is useful in cases where goods are usable but not fully as promised. The buyer keeps the goods but gets monetary relief for the defect.

Duties of the Buyer:

• Duty to Accept and Pay for Goods (Section 31)

The buyer must accept the goods and pay the agreed price as per the contract. Failure to do so gives the seller the right to sue for non-acceptance or non-payment. This duty is central to the sale contract and ensures seller receives fair compensation.

• Duty to Apply for Delivery (Section 35)

Unless the contract says otherwise, the buyer must apply for delivery of goods. The seller is not bound to send or deliver the goods unless the buyer initiates the request. This encourages cooperation and clarity in the delivery process.

• Duty to Take Delivery (Section 36)

The buyer must take delivery of goods within a reasonable time. Unreasonable delay can make the buyer liable for loss or additional costs incurred by the seller. This duty ensures prompt clearance of goods and avoids storage or spoilage risks.

• Duty to Pay Damages for Refusal (Section 56)

If the buyer wrongfully refuses to accept and pay for the goods, the seller can sue for damages. The buyer must compensate the seller for any financial loss caused due to breach. This discourages careless cancellations and ensures fairness in business transactions.

• Duty Not to Reject After Acceptance (Section 42)

Once the buyer has accepted the goods, they cannot later reject them unless fraud or breach is discovered. Acceptance may be implied if the buyer uses or resells the goods. This duty prevents unfair reversal of contracts after partial or full performance by the seller.