Sale of Goods Act 1957 · Updated to 1 Jan 2006 · Chapter III
26. Risk prima facie passes with property
Feedback & supportUnless otherwise agreed, the goods remain at the seller’s risk until the property therein is transferred to the buyer, but when the property therein is transferred to the buyer, the goods are at the buyer’s risk whether delivery has been made or not:
goods
“goods” means every kind of movable 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; a person is said to be “insolvent” who has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due, whether he has committed an act of bankruptcy or not;
Provided that where delivery has been delayed through the fault of either buyer or seller, the goods are at the risk of the party in fault as regards any loss which might not have occurred but for such fault:
delivery
“delivery” means voluntary transfer of possession from one person to another; goods are said to be in a “deliverable state” when they are in such state that the buyer would under the contract be bound to take delivery of them;
Sale of Goods 17
Provided also that nothing in this section shall affect the duties or liabilities of either seller or buyer as a bailee of the goods of the other party.