Cengage Advantage Books: Fundamentals of Business Law Today 10th Edition by Roger LeRoy Miller

Exercise 3

Right of Inspection. Jessie Romero offered to deliver two trade-in vehicles-a 2003 Mitsubishi Montero and a 2002 Chevrolet Silverado pickup-to Scoggin-Dickey Chevrolet Buick, Inc., in exchange for a 2006 Silverado pickup. Scoggin-Dickey agreed. The parties negotiated a price, including a value for the trade-in vehicles, plus cash. Romero paid the cash and took the Silverado. On inspecting the trade-in vehicles, however, Scoggin-Dickey found that they had little value. The dealer repossessed the 2006 Silverado. Did the dealership have the right to inspect the goods and reject them when it did? Why or why not? [ Romero v. Scoggin-Dickey Chevrolet Buick, Inc., __ S.W.3d __ (Tex.Civ.App.-Amarillo 2010)] (See Obligations of the Buyer or Lessee.)