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Applicable Laws
Law applicable- Other than Penang, Malacca, Sabah
and Sarawak, the Sale of Goods Act 1957 (SGA)
applies in other states. In the four states still refer to
UK Sale of Goods Act 1893.
Only slight differences as SGA 1957 is based on UK
SGA 1893
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IMPLIED TERMS
Time- S 11 SGA: Time of payment are not deemed to be
the essence of the contract of sale unless stated
otherwise
Title- S 14 (a) : Seller has the right to sell the goods
(Rowland v Divall)
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Wren v Holt
Mcwilliam Wines Ltd v Liaweena
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Godley v Perry
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3. S 20- the property in goods passes to the buyer when the contract
is made.
4. S 21- The seller must do something to put the goods in a
deliverable state, property does not pass until such thing is done.
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7. S 24- When goods are delivered to the buyer on approval, the property
in goods passes to the buyer.
TRANSFER OF TITLE
Nemo dat quod non habit
No one can pass better title than he has himself
Maxim contained in S 27 SGA- ..where goods are sold by a person who is
not the owner and sells without the authority or consent of the owner,
the buyer acquires no better title..
PERFORMANCE OF CONTRACT
Chapter IV of the Sale of Goods Act
1. Delivery - S 31: The duty of seller to deliver goods while the
buyers duty as to accept and pay for them..
S32-unless otherwise agreed, delivery and payment are
concurrent conditions.
2. Place of delivery- S 36 (1): Goods sold are to be delivered at the
place at which they are at the time of the sale..
3. Time of delivery: 36 (2) within reasonable time
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RIGHT OF LIEN
Rights arises based on S 47:
1. Goods sold without any stipulation of credit
2. Goods sold on credit but term of credit has expired
3. The buyer becomes insolvent
Seller loses rights if (based on S 49 (1)):
1. Goods delivered to carrier for transmission without
reserving the rights for the disposal of the goods
2. When buyer or his agents lawfully obtains possession
of the goods
3. When the seller waives his lien
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STOPPAGE IN TRANSIT
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