What happens when goods are delivered to an employee who is not authorized to receive them?

What laws govern contracts in Japan?
February 23, 2016
If goods are destroyed in transit, can a buyer force the seller to ship another delivery?
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In sales contracts, one of the most important parts of the contract is who will accept delivery of the goods. However, many times this is not identified beyond the standard term “Buyer” in the contract. This can result in confusion and mistakes when the seller makes a delivery to a person who is not authorized to accept it.

The question of whether the seller breached the contract by performing delivery to an unauthorized party is a fact specific one. If the seller had no reason to believe that the person accepting delivery is not authorized to do so, then the seller has not breached the contract. In other words, if the seller had no knowledge of the mistake and did not commit any negligence, then the seller cannot be found to be at fault even if the delivery went to the wrong person.

If you have any questions about a potential breach of contract, please contact our office for a legal consultation.