The Sale of Goods Act (Ont. s. 29; U. K. s. 29) provides: 29- (1) Whether it is for the buyer to take possession of the goods, or for the seller to send them to the buyer, is a question depending in each case on the contract, express or implied, between the parties. Apart from any such contract, express or implied, the place of delivery is the seller's place of business, if he has one, and, if not, his residence; provided that if the contract be for the sale of specific goods which to the knowledge of the parties, when the contract is made, are in some other place, then that place is the place of delivery.
(3) Where the goods at the time of sale are in the possession of a third person, there is no delivery by the seller to the buyer unless and until such third person acknowledges to the buyer that he holds the goods on his behalf provided that nothing in this section shall affect the operation of the issue or transfer of any document of title to goods.
(5) Unless otherwise agreed, the expenses of and incidental to putting the goods in a deliverable state must be borne by the seller.
If under a contract of sale the seller is authorized or required to send the goods to the buyer, the seller may deliver the goods to a carrier in accordance with s. 32 of the Sale of Goods Act (65), but if the contract does not expressly or impliedly require the seller to send the goods to the buyer, the seller need only put the goods in a deliverable state, and permit the buyer to take possession at the place of delivery as defined by sub-s. 1 of s. 29. The last mentioned provision is to the same effect as the common law rule. Smith v. Chance, 1819, 2 B. & Ald. 753, at p. 755; Wood v. Tassell, 1844, 6 Q.B. 234; Hertle v. Jenny, 1915, 49 N.S.R. 6, 22 D.L.R. 742.
The Sale of Goods Act provides (Ont. s. 2; U. K. s. 62) that goods are deemed to be in a "deliverable state" when they are in such a state that the buyer would under the contract be bound to take delivery of them.
In the United States the corresponding section of the Uniform Sales Act has the following provision in place of sub-s. 3 of s. 29 of the Sale of Goods Act:
43-(3) Where the goods at the time of sale are in the possession of a third person, the seller has not fulfilled his obligation to deliver to the buyer unless and until such third person acknowledges to the buyer that he holds the goods on the buyer's behalf; but as against all others than the seller the buyer shall be regarded as having received delivery from the time when such third person first has notice of the sale. Nothing in this section, however, shall affect the operation of the issue or transfer of any document of title to goods.
As to the effect of the issue and transfer of a document of title to the goods, see chapter 4, 43 ff., and as to the effect of the transfer of a document of title upon the seller's lien or right of stoppage in transitu, see chapter 7, 75. As to c.i.f. contracts, see 61.