Correct option is D
The rights of an unpaid seller against the goods are remedies that allow the seller to deal directly with the goods themselves to recover the outstanding payment. These are distinct from rights against the buyer personally, which involve legal actions to recover the price or damages.
According to the Sale of Goods Act, 1930, the rights against the goods include:
·
A. Right of lien: This is the right to retain possession of the goods until the full payment is made by the buyer. This right can only be exercised when the goods are in the seller's actual or constructive possession.
·
C. Right of resale: Under specific circumstances, the unpaid seller has the right to resell the goods to a third party to recover the price and any losses suffered. This right can be exercised if the goods are perishable or if the buyer fails to pay within a reasonable time after receiving notice from the seller.
·
D. Right of stoppage of goods in transit: This right allows the unpaid seller to intercept the goods and regain possession while they are being transported to the buyer, but only if the buyer becomes insolvent. It is exercised after the seller has parted with the goods but before the buyer or their agent takes actual or constructive possession.
Additional Knowledge
·
B. Right to sue for specific performance: This is a remedy typically available to the buyer, not the seller, to compel the seller to deliver unique goods if they breach the contract. An unpaid seller's primary legal action against the buyer is to sue for the price or damages.
·
E. Right to reorganize possession of goods: This phrasing is not a standard legal right mentioned in the Sale of Goods Act, 1930, in the context of an unpaid seller's rights. The right is to
retain possession (lien) or
regain possession (stoppage in transit).
Therefore, the correct rights of an unpaid seller against the goods are the Right of lien, Right of resale, and Right of stoppage of goods in transit.