Question
Where the price is not determined by the parties to the
contract of sale of goods, what price shall be paid by the buyer:ÂSolution
According to Section 9 of the Sale of Goods Act, 1930, if the price is not determined by the contract or reserved with a reference to some third party and a price is not agreed upon, the buyer must pay a reasonable price. "Reasonable price" depends on the nature of the goods, the market value, and the specific circumstances of the sale. Neither the buyer nor the seller can unilaterally fix the price at their discretion without agreement or reference. This provision protects the fairness and equity in contracts where price is not stipulated.[Sale of Goods Act, Section 9]
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