
Business Law 5th Edition by David Twomey ,Marianne Jennings ,Stephanie Greene
Edition 5ISBN: 978-1305575158
Business Law 5th Edition by David Twomey ,Marianne Jennings ,Stephanie Greene
Edition 5ISBN: 978-1305575158 Exercise 13
Parker ordered 50 cartons of soap from Riddle Wholesale Company. Each carton contained 12 packages of soap. The terms were: $8.00 per carton 2/10, net/30, FOB buyer's delivery platform, delivery June 1. During transit approximately one-half the packages were damaged by the carrier. The delivery was made on May 28. Answer the following with "Yes" or "No."
a. Riddle had the risk of loss during transit.
b. If Parker elects to accept the undamaged part of the shipment, he will be deemed to have accepted the entire shipment.
c. To validly reject the goods, Parker must give timely notice of rejection to Riddle within a reasonable time after delivery.
d. If Riddle were notified of the rejection on May 28, Riddle could cure the defect by promptly notifying Parker of intention to do so and making a second delivery to Parker of conforming goods by June 1.
e. The statute of frauds is inapplicable to the transaction in the facts given.
a. Riddle had the risk of loss during transit.
b. If Parker elects to accept the undamaged part of the shipment, he will be deemed to have accepted the entire shipment.
c. To validly reject the goods, Parker must give timely notice of rejection to Riddle within a reasonable time after delivery.
d. If Riddle were notified of the rejection on May 28, Riddle could cure the defect by promptly notifying Parker of intention to do so and making a second delivery to Parker of conforming goods by June 1.
e. The statute of frauds is inapplicable to the transaction in the facts given.
Explanation
a) Yes. The free on board (FOB) terms st...
Business Law 5th Edition by David Twomey ,Marianne Jennings ,Stephanie Greene
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