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They are battling for the same thing - Control of Indias 700 Million Strong Retail Consumer marketAmazon had a 49% Stake in a company called Future Coupons which was floated by Kishore Biyani who controlled many retail chains like Nilgiris etc.Future Coupons owned a 10% stake in another Holding Group called Future Retail which means Amazons stake in Future Retail was around 4.9%Now Future Retail was sold to Reliance. Reliance purchased Future Retail for a large sum of money (Around 25,000 Crores).Amazon however had an Agreement wherein Amazon would purchase a minimum of 26% of the Future Retail within 3–10 years after the agreement was signed (2019) and would receive the first right of refusal of any further stake in Future Retail.So when Future Retail - Crippled by Debt - sold to Ambani - Bezos hit the roof!!!Frankly Bezos wanted Future Retail to crash before picking up the pieces while Ambani offered Biyani a better price. This was because Ambani would pay Biyani in Reliance Industry Shares which would be inflated by the sheer news of Ambanis acquisition (Since the news -the Shares rose significantly).Bezos claimed - “WE HAVE AN AGREEMENT”Biyani and his lawyer Harish Salve - twisted around a few clauses and sold of the retail assets of Future Retail instead of the Stake in Future retail to Ambani - thereby bypassing the AgreementBezos claimed- “The Principle of Agreement has been Violated”Bezos appealed to the Competition Commission and other authorities - but they were all Pro Ambani and approved everything in record time.A Furious Bezos decided - “I will file a suit in Singapore at the Singapore International Arbitration center”Here, at the SIAC a Judge looked at the contract and said “The Deal is on Hold. This Looks Highly Shady to me”Gopal Subramaniam appearing for Amazon had some superb arguments to the effect that “This is why Nobody invests in India”Bezos had tremendous clout outside India and he decided to exert it and Ambani had to back off as the Court ordered a resolution within 90 days but told Bezos to come up with a Plan on how they proposed to handle the acquisition if the verdict came in favor of Bezos.A Furious Ambani decided to appeal the decision at the High Court - but the High Court initially sided with the SIAC Decision.However Ambani and Biyani used their clout and managed to lift the Singapore October decision and allow Biyani to go ahead with the asset sale.Bezos was once again furious and requested for Biyani to be jailed for contractual violation. He then used his muscle and persuaded SEBI to cut out Biyani and once again spoil the deal.Bezos also began to artificially reduce the value of the acquisition by approaching the creditors of Biyani to whom Biyani personally owes Rs. 12000 Crore and these Creditors turned on Biyani.Bezos meanwhile told all the International Businesses - “Look at Mukesh Ambani. This is how he does business. He does not honor any contract. He is utterly untrustworthy”And the International businesses looked at Singapore and said “Huh!!! The Court is controlled by Ambani. Is Any Agreement worth anything in India???? I dont think i will do any business in India”Many brands like Rolls Royce, McDonalds also said “I have been cheated by Indians”So the Suppliers of the Biyani Chain were offered incentives to refuse the 6 month line of credit and instead say “Sir!! We want payment in 45 days!!!”Now Mukesh Ambani was stumped. He is cash strapped at the moment and focussing on many things. A Shortening of a Line of Credit from 6 months to 45 days would result in a huge layout of money which would mean that the 25,000 Crore deal would be too much of overvaluation.Guess who is responsible for the new demands? Bezos. Bezos controlled retail offered 45 day payments which promptly allowed the suppliers to pressurize Biyani into going with Bezos.So that is status quoBezos claims he had an agreement and Biyani violated it. His Agreement is absolutely valid. He is using all dirty tactics to destroy the deal while waiting to appeal to the Supreme Court in India. It is a win win for him. Either he gets Future Retail or he gets into an agreement with Mukesh Ambani or he wipes out Ambanis reputation with all global suppliers.Ambani has nothing to do with it. He just wanted to buy Biyanis Future retail. Now he is waiting for the verdict. To be frank Ambani did not expect Bezos to become so vindictive.Biyani is in terrible tension. His debts are mounting by the day and thanks to Bezos and his provoking the creditors (allegedly) - his debts have mounted to Rs. 14130 Crore. If the deal doesnt go through - Ambani will shop elsewhere, Amazon will shop elsewhere but Poor Mr Biyani will be broken completely and totally and bankrupted.Impact on the Bezos - Ambani fight on Indias ReputationIndias reputation has taken a massive hit. The Straits Times carried an Editorial saying Investors uncertain on legal commitments from Indian companies. Singaporean and Global investors feel that Indian Courts could rule their agreements in any way whatsoever and so feel compelled NOT to invest in India.The General verdict is - Indians dont honor their contracts.Recently a Famous Company in Singapore which is selling Fortune oil in partnership with Adani demanded that their contract change and Adani accept the entire arbitration in a Singapore court. Adani - being an intelligent man - immediately agreed.Conclusion - It is likely that Bezos and Ambani will come to an understanding.Ambani has a huge control on India but Bezos has a global dominance and could destroy Ambanis international reputation especially in terms of suppliers for Hambleys etcMy only worry is Poor Kishore Biyani may end up being caught in the crossfire and he doesnt deserve it. He did so much for the Retail Business in this country.

In America at least, it all depends on the contract you reach with the seller. Generally, if you have sale plus a payment plan, the sale is made as of signing the bill of sale or other contract and fulfilling or waiving any closing conditions in the sale contract. The payments become a debt obligation at that point, not a further condition precedent to ownership. If that’s the intent, best state that directly in the contract rather than leaving it as a default, something to the effect that sale is hereby made, title shall transfer as of signing of this agreement, and (if applicable) that both parties shall cooperate in taking any further efforts and signing any documents needed to register or perfect title or otherwise establish ownership.However, some sales contracts involving seller financing would have a provision giving the seller a security interest in the asset, something that the seller ought to (but is not necessarily required to) perfect by what is making a UCC filing. Other sales contracts are on a rent-to-own basis where ownership does not transfer until paid in full.There are special rules for certain kinds of assets like real estate and vehicles.If all this is new to you and the seller, you should consider bringing in an attorney if the asset is valuable enough, or at least a broker or somebody experienced in selling your particular type of asset.

As the other answer suggests, this could be accounted for on a consigned goods basis, i.e. as the middle man you retain a certain commission on the sale and remit the balance of the consideration transferred by the customer back to the original owner of the asset.In this case, when you sell, you would:Dr Cash XCr Payable to boat owner XOnce the boat owner is notified of the sale and we transfer the cash:Dr Payable to boat owner XCr Cash XCr Commission revenue XSo we retain a certain commission, and remit the balance of the outstanding payable in cash to the previous owner.If we do this, at no point do we own the asset as it remains the legal property of the owner, and hence we do not recognise an asset.However, the questions is phrased as if you are paying the previous owner of the boat in instalments as part of some sort of purchase agreement. If that is the case, then I would suggest an alternative of accounting for this as a finance lease.Under a finance lease, the risks and rewards of ownership have transferred, without cash changing hands. That is to say, if you are responsible for insuring, maintaining and storing the boat, and can sell or use the boat at any time, then in substance you do own the asset, even though cash hasn't changed hands. In effect, this is the accruals concept applied to an asset purchase (as accountants we don't do cash accounting, unless we're putting together a cash flow statement).If you think about it, we do that quite a lot - for example when you buy a car, you might pay in instalments. Although you haven't paid in full, it's still your car, you can drive it, and you are responsible for getting insurance and maintaining it, and you can sell it.To account for a finance lease, we recognise the asset as ours when it is transferred, regardless of cash changing hands, and we raise a corresponding liability. I don't work with GAAP, mainly IFRS, so not sure if this is applicable, but what we would do is recognise the asset at the lower of the present value of lease payments or the market value of the asset.You would then depreciate the asset and treat it as your own. You would also unwind the discount on the liability to the income statement, thus recognising a finance cost, and also decrease the liability by any cash payments you might make. So far this looks like:Dr Boat (asset) XCr Finance lease liability XDr Finance expense XCr Finance lease liability XDr Finance lease liability XCr Cash XThe implicit interest rate in your finance lease arrangement will be in your purchase agreement, or you can probably work out a suitable discount rate.When you come to sell the asset, your usual disposal working will apply (assuming it is paid for in cash upfront):Dr Cash XCr Boat carrying value XCr/Dr profit or loss on disposal XYou'd then have to check your financing arrangements with the original owner of the asset as to whether you have to continue repaying your finance lease liability as normal (so just keep unwinding the discount and paying off in cash as above) or whether early repayment is permitted (i.e. Dr Finance lease liability, Cr Cash).