When two persons mutually transfer the ownership of one thing for the ownership of another, neither thing or both the things being money only, the transaction is called an ‘exchange’. (Section 118).
If any party to an exchange is by reason of any defect in the title of the other party deprived of the thing received by him in exchange, then such other party is liable to him for loss caused thereby or for the return of the thing transferred still in the possession of such other party from him without consideration.
The rights and liabilities are same as of seller and buyer.
