638890-1896-Ordinances-Nos-5-6-7-and-8-of-1896-assented-to- — Page 11

THE HONGKONG GOVERNMENT GAZETTE, 18TH APRIL, 1896.

17. (1) Where there is a contract for the sale of specific or ascertained goods the property in them is transferred to the buyer at such time as the parties to the contract intend it to be transferred.

(2) For the purpose of ascertaining the intention of the parties regard shall be had to the terms of the contract, the conduct of the parties, and the circumstances of the

case.

18. Unless a different intention appears, the following are rules for ascertaining the intention of the partics as to the time at which the property in the goods is to pass to the buyer.

Rule 1.-Where there is an unconditional contract for the sale of specific goods in a deliverable state, the property in the goods passes to the buyer when the contract is made, and it is immaterial whether the time of payment or the time of delivery, or both, be postponed.

Rille Where there is a contract for the sale of specific goods, and the seller is bound to do something to the goods for the purpose of putting them into a deliver- able state, the property does not pass until such thing be done and the buyer has notice thereof. Rule 3.--Where there is a contract for the sale of specific goods in a deliverable state, but the seller is bound to weigh, measure, test, or do some other act or thing with reference to the goods for the purpose of ascertaining the price, the property does not pass until such act or thing be done and the buyer has notice thereof.

Rule 4. -When goods are delivered to the buyer on approval or on sale or return" or other similar terms the property

thercia passes to the buyer :- (a) When he signifies his approval or acceptance to the seller or does any other act adopting the transaction:

(b) If he does not signify his approval or acceptance to the seller but retains the goods without giving notice of rejection, then, if a time has been fixed for the return of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reasonable time. What is a reasonable time is a question of fact. Rule 5.-(1) Where there is a contract for the sale of unascertained or future goods by description, and goods of that description and in a deliverable state are unconditionally appropriated to the contract. either by the seller with the assent of the buyer, or by the buyer with the assent of the seller, the pro- perty in the goods thereupon passes to the buyer. Such assent may be express or implied, and may be given either before or after the appropriation is made: (ii) Where, in pursuance of the contract, the seller delivers the goods to the buyer or to a carrier or other bailee (whether named by the buyer or not) for the purpose of transmission to the buyer, and does not reserve the right of disposal, he is deemed to have unconditionally appropriated the goods to the

contract.

19. (1) Where there is a contract for the sale of specific goods or where goods are subsequently appropriated to the contract, the seller may, by the terms of the contract or appropriation, reserve the right of disposal of the goods until certain conditions are fulfilled. In such case, not- withstanding the delivery of the goods to the buyer, or to a carrier or other bailee for the purpose of transinission to the buyer, the property in the goods does not pass to the buyer until the conditions imposed by the seller are fulfilled.

(2) Where goods are shipped, and by the bill of lading the goods are deliverable to the order of the seller or his agent, the seller is primâ facie doomed to reserve the right of disposal.

(3) Where the seller of goods draws on the buyer for the price, and transmits the bill of exchange and bill of lading to the buyer together to secure acceptance or payment of the bill of exchange, the buyer is bound to return the bill of lading if he does not honour the bill of exchange, and if he wrongfully retains the bill of lading the property in the goods does not pass to him.

20. Unless otherwise agreed, the goods remain at the seller's risk until the property therein is transferred to the buyer, but when the property therein is transferred to the

Property passes when intended to paza.

Rules for scertaining intention.

Reservation

of right of disposal.

Risk prima faeze pauses with property

359