Judiciary question bank
Judiciary Sale of Goods Act questions 98-122 of 220, with answer keys and explanations covering conditions, warranties, transfer of property, delivery, unpaid seller rights, auction sales, and buyer remedies.
Coverage
Practice judiciary exam MCQs with answers and explanations across substantive law, procedure, evidence, constitutional law, and state judicial service subjects.
Seller writes an invoice
Carrier first sees the goods
Goods are packed
Buyer or his agent obtains delivery of the goods
Correct answer: D. Buyer or his agent obtains delivery of the goods
Section 51 states when transit begins and ends. Delivery to buyer or his agent ordinarily ends transit.
Source note: Sale of Goods Act, 1930, Section 51
Seller has no possession and no right
Contract is for services only
Goods are perishable or notice of resale is properly given
Buyer has paid full price and taken delivery
Correct answer: C. Goods are perishable or notice of resale is properly given
Section 54 recognises resale in cases such as perishable goods, express reservation, or after notice where buyer defaults.
Source note: Sale of Goods Act, 1930, Section 54
Seller privately chooses a bidder before auction
The auctioneer announces completion by fall of hammer or other customary manner
The first bid is made
Goods arrive at auction hall
Correct answer: B. The auctioneer announces completion by fall of hammer or other customary manner
Section 64 provides the rules for auction sales. Completion occurs on fall of hammer or other customary announcement.
Source note: Sale of Goods Act, 1930, Section 64
Only when delivery is actually made
Only when the price is fully paid
At the time the contract is made
Only when the buyer intimates approval
Correct answer: C. At the time the contract is made
Section 20 makes the rule clear. If the goods are specific, already in a deliverable state, and the contract is unconditional, ownership passes when the contract is made. Postponement of payment or delivery does not by itself postpone transfer of property.
Source note: Sale of Goods Act, 1930, Section 20
Immediately on completion of repair, even without notice
Only when the repair is completed and the buyer has notice of that fact
Only on actual delivery
Only on registration of the contract
Correct answer: B. Only when the repair is completed and the buyer has notice of that fact
Section 21 applies when the seller must do something to the specific goods to put them into a deliverable state. Property passes only after that act is done and the buyer has notice. Notice matters because the buyer must be aware that the condition delaying transfer has been satisfied.
Source note: Sale of Goods Act, 1930, Section 21
The contract is executed in writing
The weighing is done and the buyer has notice of it
The buyer first visits the godown
The seller receives an advance
Correct answer: B. The weighing is done and the buyer has notice of it
Where something has to be done merely to ascertain the price, Section 22 applies. Property does not pass until that act is done and the buyer has notice. This avoids uncertainty in cases where the contract still depends on weighing, measuring, or testing for price determination.
Source note: Sale of Goods Act, 1930, Section 22
The contract automatically becomes void
The buyer becomes a bailee for another 30 days
Property passes to the buyer on expiry of the fixed time without rejection
Ownership always remains with the seller unless delivery is made twice
Correct answer: C. Property passes to the buyer on expiry of the fixed time without rejection
Under Section 24, in a sale on approval or sale or return, property passes if the buyer signifies approval, does an act adopting the transaction, or retains the goods beyond the fixed or reasonable time without giving notice of rejection. Silence beyond the agreed period can therefore operate as acceptance.
Source note: Sale of Goods Act, 1930, Section 24
Property passes because quantity is certain
Property passes if the price is paid in full
Property cannot pass because the goods remain unascertained
Property passes once the contract is oral rather than written
Correct answer: C. Property cannot pass because the goods remain unascertained
Section 18 states that no property in unascertained goods passes until the goods are ascertained. Merely identifying quantity in the contract is not enough if the actual 100 bags have not been separated or finally appropriated to the contract.
Source note: Sale of Goods Act, 1930, Sections 18 and 23
Unconditional and with assent of both parties, express or implied
Secretly made by the seller alone
Oral only
Registered before a magistrate
Correct answer: A. Unconditional and with assent of both parties, express or implied
Section 23 requires unconditional appropriation with assent. The buyer or seller may assent expressly or impliedly. The key idea is that the goods must be finally tied to that contract, so neither side remains free to substitute them.
Source note: Sale of Goods Act, 1930, Section 23
Delivery
Price payment
Property
Registration
Correct answer: C. Property
Section 26 adopts the general principle that risk follows ownership, unless the parties agree otherwise. Therefore, even before delivery, the buyer may bear the loss once property has passed. But this is a prima facie rule and can be displaced by contract or circumstances.
Source note: Sale of Goods Act, 1930, Section 26
Who first signed the contract
Who caused the fault as regards any loss which might not have occurred but for such fault
Who is in physical possession, regardless of fault
Who fixed the price
Correct answer: B. Who caused the fault as regards any loss which might not have occurred but for such fault
Section 26 contains an important fairness qualification. Even if the ordinary rule would place risk elsewhere, the party whose fault caused the delay bears the loss attributable to that fault. The law prevents a defaulting party from escaping consequences through technical allocation of title.
Source note: Sale of Goods Act, 1930, Section 26
The Act prohibits rejection in all commercial contracts
The buyer may prefer damages instead of repudiating the contract
Conditions and warranties are always identical
A seller can never be sued for damages
Correct answer: B. The buyer may prefer damages instead of repudiating the contract
Section 13 gives the buyer flexibility. A breach of condition normally permits rejection, but the buyer may choose to keep the goods and claim damages as for breach of warranty. This is commercially practical where the buyer still wants the goods but seeks compensation for the deficiency.
Source note: Sale of Goods Act, 1930, Section 13
A criminal offence
A breach of warranty only, unless there is a term to the contrary
A nullity with no remedy
An automatic ground for specific performance
Correct answer: B. A breach of warranty only, unless there is a term to the contrary
Section 13(2) limits the buyer's right of rejection after acceptance in a non-severable contract. Unless there is an express or implied term allowing rejection, the breach of condition is reduced to a claim for damages as breach of warranty. This protects transactional finality after acceptance.
Source note: Sale of Goods Act, 1930, Section 13(2)
The sample alone
The description alone
Both the sample and the description
Either one at the seller's option
Correct answer: C. Both the sample and the description
The law is strict in this situation. If the bargain is based both on sample and description, the goods must answer both tests. Conformity to sample cannot excuse non-conformity to description, and vice versa.
Source note: Sale of Goods Act, 1930, Sections 15 and 17
By mere private favour between family members
By description from a seller who deals in goods of that description
Only in an auction
Only after physical delivery
Correct answer: B. By description from a seller who deals in goods of that description
Section 16(2) applies where goods are bought by description from a seller who deals in goods of that description. Merchantable quality means the goods must be saleable and reasonably fit for the ordinary purposes for which such goods are used, subject to defects the buyer examined and ought to have noticed.
Source note: Sale of Goods Act, 1930, Section 16(2)
Of any kind whatsoever
Which such examination ought to have revealed
Only disclosed by the seller in writing
That appear after one year
Correct answer: B. Which such examination ought to have revealed
The law protects reasonable commercial vigilance. Once the buyer examines the goods, he cannot later complain of defects that a proper examination ought to have disclosed. Hidden or latent defects may still remain covered if they were not reasonably discoverable.
Source note: Sale of Goods Act, 1930, Section 16(2)
Section 14
Section 27
Section 55
Section 64
Correct answer: B. Section 27
Section 27 states the basic nemo dat principle. A person who is not the owner and lacks authority from the owner cannot ordinarily transfer a better title than he has. The remaining recognised exceptions are narrow and must be specifically justified.
Source note: Sale of Goods Act, 1930, Section 27
In bad faith
Without notice that the seller lacks authority
Without paying any consideration
After court permission only
Correct answer: B. Without notice that the seller lacks authority
The mercantile agent exception protects commercial certainty. If the agent is in possession with the owner's consent and sells in the ordinary course, a good-faith buyer without notice of lack of authority gets good title. The buyer's bona fides are essential.
Source note: Sale of Goods Act, 1930, Section 27 proviso
Paid the seller's taxes
Caused the buyer to believe that the seller had authority to sell
Filed a police complaint after sale
Kept silent in every situation whatsoever
Correct answer: B. Caused the buyer to believe that the seller had authority to sell
Estoppel is based on fairness. If the true owner's representation or conduct leads an innocent buyer reasonably to believe that the seller had authority, the owner may be prevented from later denying that authority. But mere silence is not enough in every case; the circumstances matter.
Source note: Nemo dat exception by estoppel
No title at all
Only possession but never title
A good title to the goods
Title only after court decree
Correct answer: C. A good title to the goods
Section 29 protects commercial dealings before rescission. Until the voidable contract is avoided, the transferor has a defeasible title capable of supporting a good sale to an innocent purchaser for value without notice.
Source note: Sale of Goods Act, 1930, Section 29
No rights because the first sale always prevails
A good title as if the seller were expressly authorised by the owner
Only a claim in tort
A title subject to automatic cancellation
Correct answer: B. A good title as if the seller were expressly authorised by the owner
Section 30(1) treats the seller in possession after sale as able, in certain circumstances, to pass good title to an innocent buyer. The law protects the commercial appearance created by possession, though only where the later buyer acts in good faith and without notice.
Source note: Sale of Goods Act, 1930, Section 30(1)
Fraudulently
In good faith and without notice of any lien or other right of the original seller
Without consideration
After notarisation
Correct answer: B. In good faith and without notice of any lien or other right of the original seller
Section 30(2) is another major exception to nemo dat. The law protects the innocent third party who relies on possession. The original seller's rights may be defeated if the sub-buyer purchased in good faith and without notice of the seller's continuing rights.
Source note: Sale of Goods Act, 1930, Section 30(2)
For the purpose of separating the part from the whole
In the course of delivery of the whole
Without the seller's consent
Only in auction sales
Correct answer: B. In the course of delivery of the whole
Section 34 distinguishes between part delivery as a stage in delivering the whole and part delivery intended to sever that part from the remainder. Only in the first case can the law treat part delivery as symbolic of the whole.
Source note: Sale of Goods Act, 1930, Section 34
Whether the contract was oral
The terms of the contract and the circumstances of the case
Whether the buyer is a company
Whether the price exceeds one lakh rupees
Correct answer: B. The terms of the contract and the circumstances of the case
Section 38 refuses to adopt a rigid rule. A defective instalment may or may not justify treating the whole contract as repudiated. The court examines the contract, seriousness of the breach, probability of repetition, and overall circumstances.
Source note: Sale of Goods Act, 1930, Section 38
The court
The buyer
The insurer
The warehouse owner
Correct answer: B. The buyer
Section 39 treats the carrier as an intermediary through whom delivery may be made to the buyer. This rule matters in questions of risk, possession, and stoppage in transit. However, the seller must still comply with reasonable carrier arrangements and notice duties.
Source note: Sale of Goods Act, 1930, Section 39