Refer to SAle in transit. Kindly confirm can a buyer further endorse the doc for sale in transit w/o knowledge of Consignor. for Example :
A despatch the goods to B, during movment of goods B further endorse the LR to C w/o knowledge of consignor , as at the time of despatch there was no such intention of Buyer. Now B is asking for E-1 form & ready to provide the C- form , also B has received the C form from C. B has completed all the formalities of SAle In transit. but Only he has not taken the consent of Consignor.
your expert advice is required on the issue.
Regards.......Vikas Kapoor
Buyers can endorse transit sale documents without consignor's consent under Section 6(2) CST, but E-1 form issues may arise. A discussion on a forum addresses whether a buyer can endorse a document for a sale in transit without the consignor's knowledge. A scenario is presented where goods are dispatched from A to B, and B endorses the document to C without informing A. The consensus among respondents is that consent from the consignor is not required for such transactions, as per Section 6(2) of the CST, which aims to prevent multiple interstate taxes. However, concerns are raised about processing E-1 forms if requested later, after the consignor has filed their sales tax return. (AI Summary)