Explain the Specific Remedies for an Unpaid Seller

Question

Explain the Specific Remedies for an Unpaid Seller?

Answer 1

Action for the Price: If a buyer refuses to take delivery even though title has passed to the buyer, the seller is entitled to its full price.

Lien: The seller can withhold goods from a buyer until the buyer has paid for them as long as the seller still possesses the goods and the contract makes no provision for credit to be extended to the purchaser, or the credit terms have expired, or the buyer is insolvent.

Stoppage in Transitu: If a buyer becomes insolvent after an unpaid seller has delivered the goods to a carrier, the seller can order the carrier to withhold them from the buyer.

Repossession:  Except in special circumstances in relation to bankruptcy, a seller has no right to repossess goods even if the buyer fails to pay for them.

Resale: After exercising a lien or stoppage in transitu, a seller can resell the goods to a third party after giving notice to the original buyer.