Home › CA Foundation › businesslaw › Sale of Goods — Transfer of Ownership and Delivery › At an auction, the auctioneer's hammer damages a…
At an auction, the auctioneer's hammer damages an antique just before the bid is accepted. The loss falls on the:
ABidders jointly
BBuyer
CSeller, since ownership had not yet passed
DAuctioneer personally
Answer & Solution
Correct answer: C. Seller, since ownership had not yet passed
Property had not passed (the bid was not yet accepted), so the seller, as owner, bears the loss under the rule that risk follows ownership.
Related questions
Even after risk in the goods has passed, the party in possession of the other's goods:Under Section 25(2), where goods are deliverable to the order of the seller or his agent uA hire-purchaser, who holds goods with only an option to buy, sells them before paying allUnder Section 26, where delivery has been delayed through the fault of one party, the goodUnder Section 2(2), 'delivery' of goods means:Under Section 54(3), where an unpaid seller who has exercised his lien or stoppage in tranWhere the true owner, by his conduct, is precluded from denying the seller's authority to Under Section 30(2), a buyer who, with the seller's consent, obtains possession before pro