South Australian Consolidated Acts South Australian Consolidated Acts19—Reservation of right of disposal
(1) Where there is a
contract for the sale of specific goods, or where goods are subsequently
appropriated to the contract, the seller may, by the terms of the contract or
appropriation, reserve the right of the disposal of the goods until certain
conditions are fulfilled. In such case, notwithstanding the delivery of the
goods to the buyer, or to a carrier or other bailee or custodier for the
purpose of transmission to the buyer, the property in the goods does not pass
to the buyer until the conditions imposed by the seller are fulfilled.
(2) Where goods are
shipped, and by the bill of lading the goods are deliverable to the order of
the seller or his agent, the seller is prima facie deemed to reserve the right
of disposal.
(3) Where the seller
of goods draws on the buyer for the price, and transmits the bill of exchange
and bill of lading to the buyer together to secure acceptance or payment of
the bill of exchange, the buyer is bound to return the bill of lading if he
does not honour the bill of exchange, and if he wrongfully retains the bill of
lading the property in the goods does not pass to him.