Types of Goods ðĶ
Not all goods are the same. Some exist now. Some will exist later. Some... might exist!
1. Existing Goods â
Goods that physically exist and belong to the seller at the time of contract.
Sub-types:
- Specific Goods: Identified and agreed upon (e.g., "This red car VIN12345").
- Ascertained Goods: Identified after contract (e.g., "100 kg rice from my warehouse").
- Unascertained Goods: Not yet separated (e.g., "100 kg rice" - not specified which 100kg).
Example: You point at a laptop in a showroom and say "I want this one". â Specific Existing Goods.
2. Future Goods ðŪ
Goods to be manufactured or produced or acquired by the seller after the contract.
Examples:
- A farmer sells his next season's wheat crop (Not yet grown).
- A company takes order for custom-made furniture (Not yet made).
Contract Type: Always Agreement to Sell (Cannot be a Sale because goods don't exist yet).
3. Contingent Goods ðē
Future goods where production/acquisition depends on a contingency (uncertain event).
Example:
- "I will sell you mangoes if it rains this month."
- If no rain, no mangoes. No contract.
If goods don't come into existence (crop fails, factory burns down), the contract becomes void. The seller is NOT liable (unless he guaranteed production).
Quiz Time! ðŊ
Test Your Knowledge
Question 1 of 5
1. Goods that are to be manufactured after the contract are called:
ðĄ Final Wisdom: "You can sell a hen (Existing). You can sell unborn eggs (Future). But you cannot own eggs before the hen is hatched!" ðĢ
Next up: Conditions & Warranties - Promises and Guarantees! ðĪ