E-1 Sale w/o knowledge of Consignor.

[V K]

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

AI Summary

Sale in transit permits endorsing documents of title without consignor consent, enabling interstate transfer under required transit forms.
Endorsement of the document of title during movement qualifies as a sale in transit; such transfers are effective without the consignor's consent provided the transfer conforms to the prescribed transit form. The mechanism recognizes title transfer by endorsement while goods are in transit to prevent multiple interstate taxation, and documentary compliance with the transit form by the transferee is determinative for treating the transaction as a transit sale.