According to Section 32 of the Sale of Goods Act, 1930,

Solution

Section 32 provides: "Unless otherwise agreed, delivery of the goods and payment of the price are concurrent conditions." This means the seller must be prepared to deliver upon the buyer tendering payment, and the buyer must be ready to pay upon the seller offering to deliver. Neither party is obliged to perform unless the other is prepared to perform simultaneously. In Sujanmal v. Radhey Shyam (AIR 1976 Raj 98), the court held that when reciprocal promises must be fulfilled at the same time, neither party can be held in default unless the other tenders their performance. However, the parties can expressly agree to a different arrangement—for example, payment on credit before delivery, or delivery against promissory note. Goods purchased on credit alter this default rule.