Under Section 59 of the Sale of Goods Act, 1930 (Risk

and Ownership):

A Risk always passes with ownership Correct Answer Incorrect Answer

B Risk may pass before ownership if goods are appropriated Correct Answer Incorrect Answer

C Risk passes only after delivery and payment Correct Answer Incorrect Answer

D Risk never passes before ownership Correct Answer Incorrect Answer

E Risk and ownership always pass together Correct Answer Incorrect Answer

Solution

Section 59 provides that unless otherwise agreed, the risk of loss of or damage to goods passes with ownership. The time of passing of ownership is determined by Sections 20-23. Risk can pass even before delivery if the goods are unconditionally appropriated or the buyer is in breach. The parties can agree to different terms regarding risk allocation. [Citation: Sections 19, 59, Sale of Goods Act, 1930]

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