Law on Sales Reviewer

Contract , FOB (shipping) , Sale of Goods Act 1979

Contract of Sale. By the contract of sale one of the contracting parties obligates himself to transfer the ownership of and to deliver a determinate thing and the other to pay therefore a price certain in money or its equivalent.

|Contract of Sale |Contract to Sell | |Title over the property passes to the buyer upon delivery unless |Ownership is retained by the seller whether or not there is | |there is a contrary agreement |delivery. Ownership passes to the buyer only upon full payment of| | |the price | |Non-payment of the purchase price is a negative resolutory |The payment in full is a positive suspensive condition, meaning, | |condition, meaning the sale becomes ineffective upon the |if the purchase price is not paid, the obligation to deliver and | |happening of such condition |to transfer ownership on the part of the seller does not become | | |effective | |After delivery of the objective, the seller loses ownership over |Whether there is delivery or not, the seller retains the | |it. Unless, the contract is set aside, he cannot recover the |ownership of the object. If the seller, due to non-payment of the| |object |price is ousting the buyer from the property, he (seller) is not | | |rescinding the contract of sale but is precisely enforcing it. |

|Pactum Reservatii Domini |Contract to Sell | |Conditional Sale...
tracking img