Lopes LJ said
'The position of a person who has received goods on sale or return is that he has the option of becoming the purchaser of them, and may become so in 3 different ways. He may pay the price, or he may retain the goods beyond a reasonable time for their return, or he may do an act inconsistent with his being other than a purchaser'.
Held Where a person obtains goods on a sale or return basis, and then resells or pledges them, this is an act adopting the transaction, and the third party is therefore protected against the seller.