Question

In: Operations Management

What are the buyer's duties when the seller delivers the contract goods?

What are the buyer's duties when the seller delivers the contract goods?

Solutions

Expert Solution

Following are the buyer's duties:

1. Inspect the delivery: Buyer must check if the order is as per specification. Buyer can reject the delivery when

  • Ordered delivered is greater or lesser than order quantity. Other option is buyer can accept the order and then pay on the contracted rate
  • Ordered delivered is of poor quality. Buyer can reject the entire delivery or choose quality goods and pay contracted rates

2. Inform the seller- If everything is in place the buyer must inform the seller that he has accepted the goods or otherwise the case may be. In case, buyer has possession for a reasonable period, the delivery is deemed accepted.

3. Pay for goods - In case the buyer has accepted the full order delivered or partial order, he/she needs to pay the seller as per terms and conditions of the contract.


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