Trade Law

Judging the situation where in the shirts were damaged and fetid due to moisture damage also the payment being refused for the same, the seller i.e. BTN can take the following steps to obtain payments for the first delivery of the shirts.

The Article 15 of the Sale of Goods Act, 1987 states that “an offer becomes effective when it reaches the offeree” and here in this scenario the contract is raised and is offered by BTN to Meniloise and is accepted as well and so complying with the act of Sale of Goods. BTN on the other hand performed its rightful duty by packing the shipment of shirts also labelling it with an umbrella mark to indicate the protection of weather from the goods also handed it over to the carrier Cargo ? Air Indonesia and received a set of air way bills to indicate the receipt of goods and this was done in accordance with the Article 20 of the Sales of Goods Act, 1987 under the obligation of the seller which was performed by BTN as asked by the buyer under CIP Paris. As the carriage as issued a clean set of air way bills to the seller it means that the goods delivered to the carriage were in perfect condition and its not the mistake of BTN that the goods were partly damaged.

The Article 59 of the Sale of Goods Act states that the buyer is liable to pay the seller on the specific date mentioned in the contract which is determined and in this justification Meniloise, the buyer had a 30 day draft period where he is liable to pay BTN within 30 days of the receipt of the goods. The Act 8 of Bills of Exchange Act defines the draft as an “unconditional order in writing, addressed to addressed by one person to another, signed by the person giving it, requiring the person to whom it is addressed to pay on demand, or at a fixed or determinable ...
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