Goods are delivered to a carrier for transmission to the buyer, but before the goods reach the buyer, the buyer becomes insolvent while the seller remains unpaid. The seller may exercise:

The right of STOPPAGE IN TRANSIT under Sections 50-52 of the Sale of Goods Act enables an unpaid seller who has parted with possession of goods (delivered to a carrier or bailee for transmission) to resume possession of the goods WHILE THEY ARE IN TRANSIT and before delivery to the buyer, provided the buyer has become INSOLVENT and the seller remains unpaid. It is a mid-transit remedy that follows on the exhaustion of the possessory lien. The right continues only while the goods are in the course of transit and ends when the buyer obtains possession. It is a significant protection for an unpaid seller against a buyer's insolvency.