Distinguish Between A Sale And A Hire-Purchase Agreement
(d) A contract for the recording and delivery of photos has been designated as a contract for the sale of goods (Newman vs. Lipman). (a) A dentist agreed to make a series of false teeth for a lady and put it in her mouth. This is a contract for the sale of goods (Lee vs. Griffin). (b) An order for the manufacture and fixing of curtains in a house is a contract for the sale of goods, although it involves some work and work in fixing the same (Love vs. Norman Wright (Builders) Ltd.) 4. When buying rentals, the property transfers from the seller to the financier and then to the buyer at the time of payment of the last tranche. In the tempes sale, the property transfers to the first tranche from the seller to the buyer.
6. In the case of a sale, a turnover tax is levied at the time of the contract, while in the case of a sale, VAT can only be collected when it has finally matured for a sale (K.L. Johar – Co. vs. Dy. Commercial Tax Officer). 3. The rental purchase is a contract to rent and buy later. Payment ins and rungs is a deal to buy.
4. In the event of a sale, the seller takes the risk of a loss resulting from the buyer`s insolvency. In the case of the rental sale, the lessor does not take such a risk, because if the tenant does not pay a slice, the landlord has the right to take back the goods. 1. In the case of a sale, the property of the goods is immediately transferred to the buyer at the time of the conclusion of the contract, while when the purchase is rented, the property of the goods is transferred to the tenant for payment of the last tranche. 2. There are 3 agreements in a lease-sale, that is, between the seller and the financier. (b) financiers and buyers and (c) buyers and sellers. But in the tempes sale, there is only an agreement between the buyer and the seller.
The sales contract may be oral or written, i.e. there is no obligation to cancel the contract. However, in the case of a rental sale, the contract must be written and signed by both parties, rental customers and rental sellers. On the other hand, the sale represents the actual sale of property for which the property and property are immediately transferred to the customer by the seller. 3. In the event of a sale, the buyer cannot terminate the contract and is obliged to pay the price of the goods. On the other hand, in the case of a rental sale, the tenant can, if he wishes, terminate the contract by returning the goods to his landlord without paying the remaining payments. The distinction should be made between a sales contract and an employment and employment contract, mainly for tax reasons.
VAT is only levied in the event of a sales contract. If ownership of the goods is to be transferred and the goods are ultimately to be delivered to the buyer, this is a sales contract, although some work may be necessary on the seller`s part of the merchandise. However, if the contract is essentially the provision of services and the exercise of skills and the goods are not delivered as such, it is an employment and employment contract and not a sale. In fact, the difference between the two is very minute. The main distinguishing points between “sale” and “rental-sale” are: leases are very close and, in fact, the very object of a lease agreement is the sale of the goods.-Nevertheless, it is appropriate to distinguish a sale from a rental purchase, because its legal effects are very different. A lease agreement can also be distinguished from a “sale agreement” (or “sale agreement” from the buyer`s point of view). As noted above, a lease-sale agreement is, at first, only an irrevocable offer of sale, i.e. the landlord is required to sell the goods later if the tenant pays all tranches as agreed, but cannot be forced to purchase by rent. “A purchase agreement,” on the other hand, entails a legal obligation to purchase, so that the buyer has no possibility of purchase or termination of contract.