Seller v. Buyer: Validity of Quality Retention Clause
Synthèse Legislator
Généré par l'IAA seller sued a buyer for the balance due on a sale of goods, where the contract stipulated a 10% retention of the sale price until the buyer verified the quality of the goods, which the buyer claimed was defective and refused to pay the final installment. The court held that the retention clause was valid only if the buyer actually verified the quality within a reasonable time, and failure to do so resulted in the full payment becoming due, thereby partially overturning the lower court's decision that the seller was not entitled to the retained sum without proof of perfect quality.
Regeste Legislator
Généré par l'IASeller v. Buyer: Validity of Quality Retention Clause: The court held that the retention clause was valid only if the buyer actually verified the quality within a reasonable time, and failure to do so resulted in the full payment becoming due, thereby partially overturning the lower court's decision that the seller was not entitled to the retained sum without proof of perfect quality.