O.C.G.A.
O.C.G.A.

O.C.G.A. § 11-2-327 (2019)

Special incidents of sale on approval and sale or return

✓ O.C.G.A. — 2019 edition (Public.Resource.Org Release 73)
Code text and O.C.G.A. statutory annotations on this page reflect the 2019 Official Code of Georgia Annotated (Public.Resource.Org Release 73, 2019-08-21; public domain per Georgia v. Public.Resource.Org, 2020). The Syfert case-law annotations in Notes of Decisions, below, are current.
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(1) Under a sale on approval unless otherwise agreed:

(a) Although the goods are identified to the contract the risk of loss and the title do not pass to the buyer until acceptance; and

(b) Use of the goods consistent with the purpose of trial is not acceptance but failure seasonably to notify the seller of election to return the goods is acceptance, and if the goods conform to the contract acceptance of any part is acceptance of the whole; and

(c) After due notification of election to return, the return is at the seller’s risk and expense but a merchant buyer must follow any reasonable instructions.

(2) Under a sale or return unless otherwise agreed:

(a) The option to return extends to the whole or any commercial unit of the goods while in substantially their original condition, but must be exercised seasonably; and

(b) The return is at the buyer’s risk and expense.

History

Code 1933, § 109A-2-327, enacted by Ga. L. 1962, p. 156, § 1.

Annotations

RESEARCH REFERENCES Am. Jur. 2d. 67 Am. Jur. 2d, Sales, §§ 465, 467. Am. Jur. Pleading and Practice Forms. 6 Am. Jur. Pleading and Practice Forms, Commercial Code, § 2:315. C.J.S. 77A C.J.S., Sales, § 214. U.L.A. Uniform Commercial Code (U.L.A.) § 2327. ALR. Duty of purchaser of goods “on trial” or “on approval” regarding notice of rejection, 78 A.L.R. 533. Loss on goods shipped as proratable

between carrier’s insurer and shipper’s insurer, 169 A.L.R. 666. Duty of consignee as to valuation of goods on reshipment to consignor, 16 A.L.R.2d 866. Reasonableness or personal judgment of buyer as test where goods are sold subject to being satisfactory to the buyer, 86 A.L.R.2d 200. Time for return of goods sold on “sale or return” absent specific time provision in contract, 93 A.L.R.2d 342. Risk of loss of goods in “sale or return” transaction under UCC § 2-327, 66 A.L.R.3d 190.

Notes of Decisions
Cited in 3 cases, 1989–2013 · leading case: Eagle Jets, LLC v. Atlanta Jet, Inc., 740 S.E.2d 439 (Ga. Ct. App. 2013).
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Eagle Jets, LLC v. Atlanta Jet, Inc., 740 S.E.2d 439 (Ga. Ct. App. 2013). · cites it 2× “” But analysis of OCGA § 11-2-510 must begin with OCGA § 11-2-509, which provides that the parties may make their own agreement regarding risk of loss in the absence of breach: The provisions of this Code section are subject to contrary agreement of the parties and to the…”
Amatulli Imports, Inc. v. House of Persia, Inc., 383 S.E.2d 192 (Ga. Ct. App. 1989). · cites it 2× “Accordingly, the question of whether appellee accepted the rugs and must pay for them is dependent upon whether the option to return them was “exercised seasonably.”
Eagle Jets LLC v. Atlanta Jet Inc. (Ga. Ct. App. 2013). · cites it 2× “” But analysis of Section 11-2-510 must begin with OCGA § 11-2-509, which provides that the parties may make their own agreement regarding risk of loss in the absence of breach: The provisions of this Code section are subject to contrary agreement of the parties and to the…”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.