Start learning →

The buyer sells a document of title to a good faith buyer for value. The seller's lien is:

Aleft fully unaffected
Bdefeated by the transfer
Conly suspended for a time
Dturned into a charge
Answer & Solution
Correct answer: B. defeated by the transfer
A transferee who acts in good faith and pays value gets clear rights in the goods, so the unpaid seller lien is defeated.
Practise this question with Quill — CA Foundation →

Keep practising Sale of Goods — Unpaid Seller

Browse all Sale of Goods — Unpaid Seller questions for CA Foundation, or explore more Businesslaw topics.

Start a Sale of Goods — Unpaid Seller lesson →
Related questions