Hong Kong Ordinances

SALE OF GOODS ORDINANCE - SECT 50

Sale not generally rescinded by lien or stoppage in transitu

(1) Subject to the provisions of this section, a contract of sale is not
rescinded by the mere exercise by an unpaid seller of his right of lien or
retention or stoppage in transitu.

(2) Where an unpaid seller who has exercised his right of lien or retention or
stoppage in transitu re-sells the goods, the buyer acquires a good title
thereto as against the original buyer.

(3) Where the goods are of a perishable nature, or where the unpaid seller
gives notice to the buyer of his intention to re-sell, and the buyer does not
within a reasonable time pay or tender the price, the unpaid seller may
re-sell the goods and recover from the original buyer damages for any loss
occasioned by his breach of contract.

(4) Where the seller expressly reserves a right of re-sale in case the buyer
should make default, and on the buyer making default, re-sells the goods, the
original contract of sale is thereby rescinded, but without prejudice to any
claim the seller may have for damages.