The term “goods” has a distinct meaning in the legal world that is different from its more vernacular or colloquial meaning. Legally, “goods” refers to tangible goods that have been bought and sold. This includes products such as furniture, cars, electronics, and jewelry. It also includes items such as collectibles and artwork. Goods can either be bought new or used.
The Difference Between Goods and Services
The term “goods” is often used to distinguish tangible items from services. A good is tangible and physical, while a service is intangible and typically not transferable. Examples of goods include items such as a car, a book, or a piece of furniture. Examples of services include things such as a haircut, a taxi ride, or a home renovation.
The Sale and Purchase of Goods
In a contractual context, the sale and purchase of goods is legally governed by the Sales of Goods Act. This Act specifies the responsibilities and obligations of the seller and buyer in the purchase and sale of goods. It also outlines remedies for breach of contract and other potential issues in the sale of goods. In summary, businesses need to have a robust understanding of the Sales of Goods Act before engaging in any transaction that involves goods.