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Topics: Contract, Breach of contract, Contract law Pages: 4 (1319 words) Published: December 3, 2013

ACC 5008 Business and Company Law in Hong Kong


Lai Mai Hung, Faderlouis

Wishful Wine Ltd and Massy Wine Ltd have a contract in this case, and it occur four situations that will discuss on each. “The two parties agree to have the wine bottled and to deliver them in crates of 12 bottles, by four installments.” which “crates of 12 bottles” and “by four installments” are constitute a condition.

In the first installment, Wishful Wine Ltd is late delivery to Massy, and staff member of Massy found that is wrong quantity received one month later. Since, Massy have find that is delivery wrong quantity after one month, refer to SOGO section 37(4) the buyer is also deem to have accepted the goods when after the lapse of a reasonable time he/she retains the goods without intimating to the seller that he/she has rejected them. Therefore, according to chapter 26 , section 32 Delivery of wrong quantity which the seller delivers to the buyer a quantity of goods less than he/she contracted to sell, the buyer may reject them, but if the buyer accepts the goods so delivered, he/she must pay for them at the contract rate. In this case, Massy Wine Ltd accepts the goods so delivered, Massy Wine Ltd need to pay for them at the contract rate.

In the second installment, Massy Wine Ltd is refuses to accept the delivery because they do not have space to store the goods. Refer to SOGO section 34(1), “Where, in pursuance of a contract of sale, the seller is authorized or required to send the goods to the buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer is prima facie deemed to be a delivery of the goods to the buyer.” And SOGO section 39 “When the seller is ready and willing to deliver the goods and requests the buyer to take delivery, and the buyer does not within a reasonable time after such request take delivery of the...
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