{"id":184373,"date":"2023-11-28T03:16:53","date_gmt":"2023-11-28T03:16:53","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=184373"},"modified":"2026-05-28T02:30:13","modified_gmt":"2026-05-28T01:30:13","slug":"sale-of-goods-act","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/","title":{"rendered":"Three Key Points About the Sale of Goods Act\u00a0"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Running an <a href=\"https:\/\/legalvision.co.uk\/business-structures\/structure-online-business\/\">online business<\/a> in the UK means complying with specific laws governing the sale of goods, and the <em>Sale of Goods Act 1979<\/em> remains a critical piece of legislation for business-to-business sales. Understanding how it applies to your eCommerce business can help you avoid breach of contract claims and protect your trading relationships. This article will explain three crucial points to note about the <em>Sale of Goods Act 1979<\/em>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is the Sale of Goods Act?&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The <a href=\"https:\/\/www.legislation.gov.uk\/ukpga\/1979\/54\"><em>Sale of Goods Act 1979<\/em><\/a> is a piece of UK legislation to protect customers when they buy products. It ensures they have particular rights in terms of the goods they buy. It does not, however, apply to services.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The <em>Sale of Goods Act<\/em> means you must ensure the goods you sell online are:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>of satisfactory quality;<\/li>\n\n\n\n<li>are as they are described; and<\/li>\n\n\n\n<li>fit for purpose, so do what you, as the seller, say they can do.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">As the Act is statutory UK law, you cannot choose whether it applies to your online business. It is, therefore, irrelevant if it is not in your business terms and conditions.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">1. When Does It Apply?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">An important point to note about the<em> Sale of Goods Act, <\/em>which you may not know, is that most of what it covers now applies through the <em>Consumers Rights Act 2015.<\/em> This is particularly the case in terms of areas which apply to consumers. The<em> Consumers Rights Act 2015 <\/em>effectively replaces the <em>Sale of Goods Act<\/em> for consumers. The Act, therefore, only applies to consumers now for any products they purchased before 30th September 2015. However, naturally, as the provisions for consumers are now in other UK legislation, you still have to abide by the details of the law in the Act.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Instead, the <em>Sale of Goods Act<\/em> applies for business-to-business sales. So, if you are an online business which, for example, supplies goods to a dropship business, it applies. The Act is also relevant to both written sale of goods contracts and verbal ones. However, you should note that the Act does not apply to goods that business buys on hire purchase.<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+448081968584\" class=\"not-prose\">0808 196 8584<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white    \">\n    <script>\nvar 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What Does Acceptance&nbsp;Mean?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The <em>Sale of Goods Act<\/em> is particular in terms of what acceptance means. It is essential as an eCommerce brand that you understand this so you know when another business has accepted your goods. There are two main ways your buyer accepts the products you sell to them. This is when:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>the business that buys your products tells you they have accepted them; or<\/li>\n\n\n\n<li>you <a href=\"https:\/\/legalvision.co.uk\/commercial-contracts\/seller-deliver-goods-to-buyer\/\">deliver the buyer the products<\/a>, they carry out an action which shows that they consider you to no longer own them.<\/li>\n<\/ol>\n\n\n\n<p class=\"wp-block-paragraph\">Point two could occur, for example, where the business you sell your goods to places them for sale on their website. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You should note that a buyer does not accept your goods if you have not given them a reasonable chance to examine them where they have not already done so. A reasonable time is a time which allows an examination of the purpose the goods are for. Your buyer needs to check that they match the contractual description and are the same as any sample you have previously given if it is a sale-by-sample.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">3. What Are the Implied Terms?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The <em>Sale of Goods Act<\/em> contains <a href=\"https:\/\/legalvision.co.uk\/commercial-contracts\/implied-terms-in-a-contract\/\">implied terms<\/a> in it. This means there are rules of the Act that you must abide by, but these are not expressly stated in the Act. These include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>your legal right to sell the goods to the buyer at the point of sale;<\/li>\n\n\n\n<li>the buyer&#8217;s right to enjoy goods in peace once you sell them; and<\/li>\n\n\n\n<li>your obligation as the seller to tell the buyer about all costs associated with the goods.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">What Are the Remedies for Breach of the Sale of Goods Act?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">If you breach the implied terms of the <em>Sale of Goods Act 1979<\/em> in a business-to-business sale, the buyer has several remedies available to them. Where the goods do not conform to the contract, the buyer may be entitled to:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>reject the goods and treat the contract as ended;<\/li>\n\n\n\n<li>claim a price reduction; or<\/li>\n\n\n\n<li>sue for damages to recover any financial loss caused by the breach.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">However, once a buyer has accepted the goods, their right to reject them is lost. At that point, they can only claim damages. The amount of damages a buyer can recover will depend on the loss they can prove was caused directly by the breach. This could include the cost of sourcing replacement goods or losses from being unable to fulfil their own customer orders.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As a seller, you can limit your liability for breach through a well-drafted contract. However, under the <em>Unfair Contract Terms Act 1977<\/em>, any clause that attempts to exclude liability for breach of the implied terms must be reasonable to be enforceable in a business-to-business context.<\/p>\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/05\/01062327\/legal-health-checklist-uk.jpg\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">Legal Health Checklist<\/div>\n            <div class=\"body-text\">\n                <p>This checklist will help you identify areas in your business that may need further protection or assistance to ensure you are legally compliant.<\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2023\/05\/01062115\/LegalVision-UK-Legal-Checklist-2.pdf\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<div  class=\"box box--icon box--info\">\n    <p dir=\"auto\"><strong>Key Statistics<\/strong><\/p>\n<ol dir=\"auto\">\n<li><strong>14<\/strong>: E-commerce laws and legal requirements that UK online businesses must comply with, including the <em>Sale of Goods Act 1979<\/em> for B2B and B2C sales.<\/li>\n<li><strong>80%<\/strong>: Proportion of online sales to consumers that fall under the <em>Sale of Goods Act<\/em> and related consumer protection rules.<\/li>\n<li><strong>25%<\/strong>: Increase in e-commerce related disputes involving sale of goods issues reported in the last three years.<\/li>\n<\/ol>\n<p dir=\"auto\"><strong>Sources<\/strong><\/p>\n<ol dir=\"auto\">\n<li>Federation of Small Businesses (2025)<\/li>\n<li>LexisNexis (2026)<\/li>\n<li>GOV.UK (2023)<\/li>\n<\/ol>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The <em>Sale of Goods Act<\/em> is a crucial piece of UK law that applies to your eCommerce business. Whilst it no longer covers consumer sales, the areas it covers are now in the <em>Consumer Rights Act<\/em>, so the detail of the law still applies. The <em>Sale of Goods Act<\/em> applies to your business-to-business sales and protects the quality and purpose of the goods. This article has explained three essential points about the Act. It describes when it applies and how. The article also presents how to understand acceptance of the Act. The third important point the article covers about the <em>Sale of Goods Act<\/em> is that it contains implied terms.<br><br>If you need help determining if your eCommerce business is in compliance with the <em>Sale of Goods Act<\/em>, LegalVision provides ongoing legal support for all businesses through our fixed-fee legal membership. Our experienced <a href=\"https:\/\/legalvision.co.uk\/ecommerce-lawyers-lp\/\">eCommerce lawyers<\/a> help businesses manage contracts, employment law, disputes, intellectual property, and more, with unlimited access to specialist lawyers for a fixed monthly fee.\u00a0To learn more about LegalVision\u2019s legal membership, call <a href=\"tel:+448081968584\" class=\"AVANSERnumber dynamic-number\">0808 196 8584<\/a> or\u00a0<a href=\"https:\/\/legalvision.co.uk\/membership\/\" target=\"_blank\" rel=\"noreferrer noopener\">visit our membership page<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Frequently Asked Questions<\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1779931352913\"><h3 class=\"schema-faq-question\">Does the <em>Sale of Goods Act 1979<\/em> cover services?<\/h3> <p class=\"schema-faq-answer\">No, the Act only protects customers buying products. It does not apply to services.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1779931373790\"><h3 class=\"schema-faq-question\">Can businesses exclude the <em>Sale of Goods Act<\/em> from their terms and conditions?<\/h3> <p class=\"schema-faq-answer\">No, it is statutory UK law. It applies to your online business regardless of what your terms state.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1779931374925\"><h3 class=\"schema-faq-question\">When does a buyer formally accept goods under the <em>Sale of Goods Act<\/em>?<\/h3> <p class=\"schema-faq-answer\">Acceptance occurs when the buyer notifies you directly. It also occurs when they act as owner, such as listing your goods for sale.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1779931375566\"><h3 class=\"schema-faq-question\">What implied terms must sellers comply with under the <em>Sale of Goods Act<\/em>?<\/h3> <p class=\"schema-faq-answer\">Sellers must hold legal rights to sell goods. Buyers must enjoy purchased goods peacefully. Sellers must also disclose all costs associated with the goods.<\/p> <\/div> <\/div>\n","protected":false},"excerpt":{"rendered":"<p>Running an online business in the UK means complying with specific laws governing the sale of goods, and the Sale of Goods Act 1979 remains a critical piece of legislation for business-to-business sales. Understanding how it applies to your eCommerce business can help you avoid breach of contract claims and protect your trading relationships. This<a href=\"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/\">Continue reading <span class=\"sr-only\">&#8220;Three Key Points About the Sale of Goods Act\u00a0&#8220;<\/span><\/a><\/p>\n","protected":false},"author":13458,"featured_media":183563,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"178829,180752,183384,177196,1513,179406","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[34],"tags":[50,1549,1550,1588],"class_list":["post-184373","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ecommerce-online-business","tag-sale-of-goods-act","tag-ecommerce-business-owner","tag-ecommerce-business","tag-regulatory-compliance"],"acf":[],"yoast_head":"<!-- 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She assists on a broad range of Commercial Contract matters, as well as Corporate matters.","url":"https:\/\/legalvision.co.uk\/author\/malaikahkhattak\/"},{"@type":"Question","@id":"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/#faq-question-1779931352913","name":"Does the Sale of Goods Act 1979 cover services?","acceptedAnswer":{"@type":"Answer","text":"No, the Act only protects customers buying products. It does not apply to services.","inLanguage":"en-GB"},"inLanguage":"en-GB"},{"@type":"Question","@id":"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/#faq-question-1779931373790","name":"Can businesses exclude the Sale of Goods Act from their terms and conditions?","acceptedAnswer":{"@type":"Answer","text":"No, it is statutory UK law. It applies to your online business regardless of what your terms state.","inLanguage":"en-GB"},"inLanguage":"en-GB"},{"@type":"Question","@id":"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/#faq-question-1779931374925","name":"When does a buyer formally accept goods under the Sale of Goods Act?","acceptedAnswer":{"@type":"Answer","text":"Acceptance occurs when the buyer notifies you directly. It also occurs when they act as owner, such as listing your goods for sale.","inLanguage":"en-GB"},"inLanguage":"en-GB"},{"@type":"Question","@id":"https:\/\/legalvision.co.uk\/ecommerce-online-business\/sale-of-goods-act\/#faq-question-1779931375566","name":"What implied terms must sellers comply with under the Sale of Goods Act?","acceptedAnswer":{"@type":"Answer","text":"Sellers must hold legal rights to sell goods. Buyers must enjoy purchased goods peacefully. Sellers must also disclose all costs associated with the goods.","inLanguage":"en-GB"},"inLanguage":"en-GB"}]}},"_links":{"self":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/184373","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/users\/13458"}],"replies":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/comments?post=184373"}],"version-history":[{"count":13,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/184373\/revisions"}],"predecessor-version":[{"id":198051,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/posts\/184373\/revisions\/198051"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/media\/183563"}],"wp:attachment":[{"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/media?parent=184373"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/categories?post=184373"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalvision.co.uk\/api\/wp\/v2\/tags?post=184373"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}