Rights of an Unpaid Seller - The Sale of Goods Act(1930) , Business Law Video Lecture | Business Law - B Com

now let's see what are the rights of the
unpaid selvino unpaid sellers a person
who has not got money for his goods so
do you think he would have any remedies
or right against the buyer should he
have rather it is pretty much logical to
say yes he should have right because you
know in law there is a principle we've
already studied that principle it is
principle of equity or principle of
unjust enrichment
nobody should unduly become rich at
other peoples expense now if the buyer
does not pay the seller he is getting
unjust enrichment which the law will not
allow and it will give some rights and
remedies to the seller now let's see
what are those rights or remedies
available to the seller if he becomes an
unpaid seller this is how the chart of
Rights of unpaid seller looks now in
this start you can see the rights of the
seller are basically divided into two
parts the first is rights against goods
the second is right against the buyer
and rights against good is called as
just in rem just in rent just in rem
means right against some Goods right
against some assets right again some
property
so just in rem means right against goods
asset
property okay and what is just in
personam just in personal means right
against a person these are the personal
right against some person so the person
here is the buyer so seller has some
rights with regards to goods that he has
sold and he has some right with regards
to the buyer himself against the buyer
what are the he has some remedies which
he can't apply against the buyer and
possibly you know lead to his redressal
so now let's see what are the rights
which are against the goods which are
available to the unpaid seller and then
we will see what are the right which are
against the buyer which are available to
the unpaid server so now right against
the goods have been divided into two
parts first is if the sale has happened
second if the agreement to sell has
happened so in this case the property in
goods has passed here property in goods
hasn't has not passed because this is
the sale transaction sale transaction
means there is an immediate transfer
immediate passing of the title immediate
transfer of ownership or the property
but in agreement to sell
there is no transfer of property or the
title or the ownership okay
so if it is a transaction of sale the
seller has the right to leave he has the
right to stop it in transit and he has
the right to resell the goods now what
do you mean by right to leave right to
leave needs right over the custody of
the goods this means right over the
custody or possession right to lean
means right over the custody or the
possession of the goods right to
stoppage in transit is very simple to
understand the goods are in transit and
you call up the carrier or the
transporter and ask him to not to
deliver the goods right to stop it in
transit and then you have the right to
resell their goods and you have sold
goods you did not receive the price for
it law allows you to resell the goods to
recover the price this is pretty simple
to understand so these are the rights
available to unpaid seller in case of a
sale transaction but let's say you know
it is not a sale transaction but a but
an agreement to sell so what will be the
rights in that case in that case all
these rights will continue the unpaid
seller will have the right to lean over
the goods right to stoppage of transit
of goods and right to resell the goods
he'll have these rights along with these
rights you will also have the right to
withhold the delivery of goods right to
withhold the delivery means he may
refuse to deliver the goods to the buyer
okay so this is
the portion of the right of the unpaid
seller against the goods in all these
things and all these right you can see
that these are exercised against the
goods right of lien is against the goods
you have you retain the custody here
straw pays in transit you regain the
custody here you get the goods back
right to resale you sell the goods again
withhold the delivery you do not deliver
the goods so in all these rights you are
exercising the rights over the goods now
let's see what are the rights that the
unpaid seller has over the buyer against
the buyer what are the rights that he
has first his super price very logical
he has already sold the goods the buyer
has not given along he has not paid the
price so the seller he becomes the
unpaid cell and he sues him for price he
asked him to pay the price okay sue for
damages now let's say the buyer did not
pay the price and there was a time lag
or in that period the seller had some
loss he incurred some loss or just
because the seller withheld the delivery
he stopped the goods in transit he
incurred some losses there were some
transport losses they were packaging
losses whatever losses the seller has
incurred because of this he can recover
them from the buyer so he may claim
damages from him and then sue for
interest no buyer is not paying the
price let's say it's been two months now
it's been four months six months so
whatever the period it is he may recover
the interest for the late payment so
this
is the right which he will get for
delayed recovery of price but for this
it is important that he recovers the
price if he does not recover the price
there is no question of interest and
then the person who is not paying the
price will not pay the interest so if
the buyer has paid the price but he has
paid it late there was a delayed payment
so for that period which was delayed he
will recover the interest so now let's
discuss all these rights