• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.74
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• pp.1-23
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• 2017

The buyer must examine the goods, or cause them to be examined, within as short a period as is practicable in the circumstances. Article 38 lays down a fundamental principle that requires the buyer to examine quickly the goods delivered by the seller. Article 38 (1) provides that the examination be made within as short a period as practicable in the circumstances. The goods have to be examined within as short a period as is practicable in the circumstances. The rule is based on the fundamental idea of reasonableness, meaning that the buyer must examine the goods as soon as reasonably possible. It may be said that the buyer should act reasonably fast. Article 38 (2), (3) concerns sales involving carriage of the goods, where the seller's obligation to deliver consists in handing the goods over to the first carrier for transmission to the buyer. In this case the buyer is generally able to examine the goods only after they have come to destination. Article 38 (3) takes into account the case where the buyer redirects the goods in transit or re-dispatches them to another destination. Redirection in transit occurs when the destination is changed before the goods are received by the buyer. The buyer could re-dispatch the goods without having them unloaded, or re-dispatch them through another carrier.

• Korea Trade Review
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• v.41 no.5
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• pp.187-211
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• 2016

This study discusses the right of suspension of performance against anticipatory breach under SGA. Anticipatory breach originated in Hochster v De La Tour allows the innocent party to exercise immediately the right or rights reserved for the non-performance of obligations. But it has not been codified in English Law. Instead, under SGA s. 41 and s. 44, the seller may suspend his performance against the buyer' anticipatory breach. Lien under s. 41 and stoppage in transit under s. 44 are given only to the seller in a narrowly-defined situation. Under SGA s. 41, the unpaid seller is entitled to retain possession of goods where the buyer becomes insolvent. But under SGA s. 43, the unpaid seller loses the right of lien when he delivers goods to a carrier or other bailee or custodian for the purpose of transmission to the buyer without reserving the right of disposal, or when the buyer or his agent lawfully obtains possession of the goods, or by waiver of lien. Under SGA s. 44, the unpaid seller may exercise the right of stoppage in transit if the buyer becomes insolvent, despite the fact that the property of goods has passed or a bill of lading has been transferred to the buyer. But, under s. 45, the right of stoppage in transit is ended when the buyer or his agent takes delivery of goods. And where the buyer transfers a bill of lading to a sub-buyer, the unpaid seller loses his right to stop goods in transit.