The right to reject for short delivery and termination
Journal of International Trade Law and Policy
ISSN: 1477-0024
Article publication date: 23 March 2012
Abstract
Purpose
If a seller fails to deliver the correct quantity, the buyer may reject the goods in accordance with the Sale of Goods Act 1979, section 30(1). The nature of this right to reject is unclear, and whether breach by short delivery will suffice to terminate the contract is also unclear. The purpose of this paper is to clarify this area of law.
Design/methodology/approach
The focus is on the combined case‐law and academic commentary on the topic of short delivery, and the broader issue of termination.
Findings
The paper suggests that breach by short delivery does terminate the contract. It suggests that the right to cure cannot provide an entirely satisfactory response for victims of short delivery. The paper also proposes a reform of the Sale of Goods Act 1979 to take this into account.
Research limitations/implications
This research mainly focused on the current legal position. Further research on the historical development of the rules on short delivery, which were crystallised in the Sale of Goods Act 1893, will provide valuable insights into this area of law.
Practical implications
The proposal for reform could have a practical benefit in terms of protecting buyers from the danger of short delivery, by providing them with a more secure remedy than what appears to be currently available.
Originality/value
To the extent of the author's knowledge, this is the first dedicated analysis of short delivery in the literature.
Keywords
Citation
Thomas, S. (2012), "The right to reject for short delivery and termination", Journal of International Trade Law and Policy, Vol. 11 No. 1, pp. 44-64. https://doi.org/10.1108/14770021211210687
Publisher
:Emerald Group Publishing Limited
Copyright © 2012, Emerald Group Publishing Limited