Multiple choice

The goods are at the risk of a party, who has

  1. possession of goods

  2. custody of goods

  3. ownership of goods

  4. none
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Under the Sale of Goods Act, the general rule is that goods are at the risk of the party who has ownership of them. Risk normally passes with property unless the parties agree otherwise. Therefore, the owner bears the risk of loss or damage, regardless of who has physical possession or custody.

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