Exam 24: Title and Risk of Loss

In a self-service store a sale cannot occur until the goods are paid for.

In a non-shipment contract risk of loss passes to the buyer when the merchant seller makes the goods available to said buyer.

If an owner has acted in a way that misleads others,the owner may be __________from asserting ownership.

A buyer with a voidable title cannot pass on valid title to a subsequent good faith purchaser.

Title passes to the buyer at delivery:

A sale or return is a completed sale with an option for the buyer to return the goods.

Anderson Clock Company is in the business of selling and repairing clocks. Jay purchased a grandfather clock from them. Laurie had left the clock at Anderson's for a cleaning and calibration.When Laurie found out the clock had been sold,she contacted Jay and demanded he return it. Must Jay comply with Laurie's demand? What other options does she have?

"Without reserve" auctions give the auctioneer the right to withdraw the goods from the sale process if the bids are not high enough.

Future goods can be identified before they are manufactured.

The expense and the risk of return in a sale or return situation is on the:

A bailee can pass good title to a good-faith purchaser,even when the sale was not authorized by the owner and the bailee has no title to the goods but is in the business of selling those particular types of goods.

Fungible goods are always homogeneous.

In an FOB shipment contract title to the goods pass to the buyer when goods are delivered to the carrier.

Someone who finds and resells stolen property passes on a good title to a good faith purchaser.

In a sale on approval,the buyer's approval must be demonstrated by express words.

Most courts hold that when a customer takes an item from the shelf in a self-service store,there is:

Goods that are not yet in existence or are not yet owned by the seller are__________ goods.

When goods are sold at an auction in separate lots,the title to each lot passes:

If a seller under a shipment contract sends nonconforming goods,the risk of loss in transit is on the buyer.

If a contract contains a delivery term of FOB place of shipment,the seller's obligation under the contract is to deliver the goods to a carrier for shipment.