Exam 24: Title and Risk of Loss

A document of title is not sufficient for a creditor to take an interest in goods.

__________reserve auctions are those that give the auctioneer the right to withdraw the goods from the sale process if the bids are not high enough.

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

__________ reserve auctions are those in which the goods must be sold regardless of whether the auctioneer is satisfied with the levels of the bids.

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

If shipped goods are damaged or destroyed after risk of loss passes:

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

Title to goods can be transferred without the actual delivery of the goods involved.

If a buyer purchases goods on approval,the buyer's creditors cannot reach such goods until there is an approval.

COD is a shipping term that requires the buyer to pay in order to gain physical possession of the goods.

In a sale or return transaction,until the actual return of the goods is made,title and risk of loss remain with the buyer.

__________ goods are goods that,when mixed together,are indistinguishable.

In a consignment,the dealer-consignee is often referred to as a(n):

In a __________,no sale takes place (meaning there is no transfer of title)until the buyer accepts 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?

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

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

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.

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.