Delivery of goods| Rules | Modes of delivery
What is Delivery of Goods
Delivery of goods is the voluntary transfer of possession between parties under the Sale of Goods Act. In order for a delivery to be deemed valid, the goods must be transferred voluntarily, not under pressure. During the transfer, there must be no force, fraud, or theft. Having possession of an item does not constitute delivery.
Different Modes Of Delivery
Goods can be delivered in three different ways:
Actual Delivery
Actual delivery refers to the physical transfer of goods from one party to another by the seller or his representative by giving possession. Physical delivery is another term used to describe the process.
Symbolic Delivery
In this delivery process, when the actual item or product can’t be physically delivered, delivery takes place through a symbol or token transfer. This signal indicates delivery. This is as effective as actual delivery even though the goods remain in their original position
Symbolic delivery example: Delivery of house key to the new buyer
Centralized store and decentralized store
Constructive Delivery of goods
Constructive delivery gives the opportunity to acquire future ownership. The intention is to transfer ownership, but it has not yet been accomplished legally. During constructive delivery, all parties behave as if a property transfer has occurred without actually transferring it. Constructive delivery is also known as attornment.
Example of constructive delivery of goods: When your friend picks up a package on your behalf of you and keeps it.
There are a number of situations in which constructive delivery is possible:
- In a situation where the seller holds the goods on behalf of the buyer and is in possession of them
- In such cases, the seller accepts the buyer’s ownership of the goods once the buyer has already received them
- If the goods are held by an agent or bailee who acknowledges that they hold the goods on behalf of the buyer (eg. Store keeper, transporter, agent)