Interpretation

(1) In this Act, unless the context otherwise require, “action” includes counterclaim and set-off; “buyer” means a person who buys or agrees to buy goods; “contract of sale” includes an agreement to sell as well as a sale; “delivery” means voluntary transfer of possession from one person to another; “document of title to goods” has the same meaning as it has in the Factors Act, Cap. 249; “fault” means wrongful act or defaults; “future goods” means goods to be manufactured or acquired by the seller after the making of the contract of sale; “goods” includes all chattels personal other than things in action and money, emblements, industrial growing crops, and 7 things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale; “plaintiff” includes defendant counterclaiming; “property” means the general property in goods and not merely a special property; “quality of goods” includes their state or condition; “sale” includes a bargain and sale as well as a sale and delivery; “seller” means a person who sells or agrees to sell goods; “specific goods” means goods identified and agreed upon at the time a contract of sale is made; “warranty” means an agreement with reference to goods which are the subject of a contract of sale, but collateral to the main purpose of such contract, the breach of which gives rise to a claim for damages, but not to a right to reject the goods and treat the contract as repudiated. (2) A thing is deemed to be done “in good faith” within the meaning of this Act when it is in fact done honestly, whether it be done negligently or not. (3) A person is deemed to be insolvent within the meaning of this Act who either has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due, whether he has committed an act of bankruptcy or not, and whether he has become a notorious bankrupt or not. (4) Goods are in a “deliverable state” within the meaning of this Act when they are in such a state that the buyer would under the contract be bound to take delivery of them. 8