Acts and Regulations

2016, c.110 - Sale of Goods Act

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Subsale or pledge by buyer
61(1)Subject to the provisions of this Act, the unpaid seller’s right of lien or retention or stoppage in transit is not affected by any sale, or other disposition of the goods that the buyer may have made, unless the seller assented to it.
61(2)If a document of title to goods has been lawfully transferred to any person as buyer or owner of the goods, and that person transfers the document to a person who takes the document in good faith and for valuable consideration, then, if the latter transfer was by way of sale, the unpaid seller’s right of lien or retention or stoppage in transit is defeated, and if the latter transfer was by way of pledge or other disposition for value, the unpaid seller’s right of lien or retention or stoppage in transit can only be exercised subject to the rights of the transferee.
R.S.1973, c.S-1, s.44