Sale of Goods Act Section 37 — Delivery of wrong quantity

CHAPTER IV PERFORMANCE OF THE CONTRACT

Commercial / Corporate

Summary

Sub-section (1) covers a delivery of less than the contracted quantity. In that situation, the buyer may reject the goods. However, if the buyer chooses to accept them, they must pay for them at the rate set in the contract.

Sub-section (2) covers a delivery of more than the contracted quantity. The buyer may either accept only the goods that match the contract and reject the extra ones, or reject the entire delivery. If the buyer accepts the whole delivery, they must pay for all of it at the contract rate.

Sub-section (3) covers a delivery where the contracted goods are mixed with goods of a different description that were not part of the contract. The buyer may accept the goods that match the contract and reject the rest, or may reject the whole delivery.

Sub-section (4) states that the rules in this section do not override any trade usage, special agreement, or course of dealing between the buyer and seller.

Official Text

(1) Where the seller delivers to the buyer a quantity of goods less than he contracted to sell, the buyer may reject them, but it the buyer accepts the goods so delivered he shall pay for them at the contract rate.

(2) Where the seller delivers to the buyer a quantity of goods larger than he contracted to sell, the buyer may accept the goods included in the contract and reject the rest, or he may reject the whole. If the buyer accepts the whole of the goods so delivered, he shall pay for them at the contract rate.

(3) Where the seller delivers to the buyer the goods he contracted to sell mixed with goods of a different description not included in the contract, the buyer may accept the goods which are in accordance with the contract and reject the rest, or may reject the whole.

(4) The provisions of this section are subject to any usage of trade, special agreement or course of dealing between the parties.