Delivery of Goods in the Custody of a Third Party: Operation and Basis

What is it about?

Although the Sale of Goods Act 1979 has a rule of transfer of ownership of goods by agreement, in non-sale situations the common law requirement for delivery remains. It also applies to the creation of security by delivery. This article considers how delivery, understood as a transfer of possession rather than as necessarily involving physical handing over, operates when the goods are in the custody of a third party, such as a warehousekeeper. The article goes on to consider the theoretical basis of this form of delivery, which is effected through intimation to the custodier.

Featured Image