stoppage in transitu

Definition of "stoppage in transitu"
  1. It refers to a seller's right to halt goods while they are in transit to the buyer and take them back, usually upon discovering that the buyer is not able to pay
How to use "stoppage in transitu" in a sentence
  1. Due to the buyer's impending bankruptcy, the seller exercised their right of stoppage in transitu to retain the goods.
  2. Stoppage in transitu protects sellers in the event of a buyer's insolvency, allowing them to reclaim the goods in transit.
  3. The power of stoppage in transitu became necessary when the seller found out the buyer had declared bankruptcy before the goods were delivered.

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