Question

Which section of Sale of Goods Act 1930 deal with anticipatory breach of contract

• A. Section 50
• B. Section 65
• C. Section 60
• D. Section 70

Hint:

While the general principle of anticipatory breach is in Section 39 of the Indian Contract Act, 1872, remember that specific Acts like the Sale of Goods Act often have their own sections restating these general principles for their specific context. Section 60 of the SOGA is the specific provision for sales contracts.

Answer 1

The Correct Option is C

Step 1: Understanding the Concept:
The question asks for the specific section in the Sale of Goods Act, 1930, that deals with "anticipatory breach of contract." An anticipatory breach occurs when one party to a contract communicates their intention not to perform their obligations before the performance is due.

Step 2: Key Legal Provision:
Chapter VI of the Sale of Goods Act deals with "Suits for Breach of the Contract."

Step 3: Detailed Explanation:
- Section 60 of the Sale of Goods Act, 1930, is titled "Repudiation of contract before due date." It provides that where either party to a contract of sale repudiates the contract before the date of delivery, the other party has two options: (1) treat the contract as immediately rescinded and sue for damages, or (2) wait until the due date and then sue for breach. This is the statutory embodiment of the doctrine of anticipatory breach specifically for contracts of sale.
The other sections are incorrect:
- Section 50 deals with the seller's lien.
- The Sale of Goods Act, 1930, does not have Sections 65 or 70. (Section 65 is in the Indian Contract Act).

Step 4: Final Answer:
Section 60 of the Sale of Goods Act, 1930, deals with anticipatory breach of contract.