Under Section 2(10) of the Sale of Goods Act, 1930, Price is defined as the money consideration for a sale of goods.
Essentials of Price:
Monetary Value: The consideration must be money. If goods are exchanged for goods, it is "Barter," not a "Sale." However, a mix of money and goods (e.g., trading in an old car plus cash for a new one) is considered a sale.
How Price is Fixed (Section 9):
By the Contract: Expressly stated in the agreement (e.g., ₹500).
Agreed Manner: To be fixed later by a specific method (e.g., market rate on a specific date).
Course of Dealing: Determined by previous transactions between the parties.
Reasonable Price: If the price is not determined by any of the above, the buyer must pay a "reasonable price" based on the circumstances of the case.
No comments:
Post a Comment