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Sam Owns a Record Store That Buys and Sells Old

Question 67

Multiple Choice

Sam owns a record store that buys and sells old vinyl records.Sam sells some records to Tammy through eBay.Sam is considered a merchant.Sam ships the records to Tammy.When Tammy receives the records they are smashed into a million pieces.Tammy sues Sam for her money back,who wins?


A) Sam wins because the risk of loss passed to Tammy when he shipped the records.
B) Sam wins because as a merchant he is only responsible for shipping conforming goods.
C) Tammy wins because Sam retained the risk of loss when he shipped the records.
D) Tammy wins because Sam is a merchant and therefore has an increased responsibility to make sure the records arrive in one price.
E) Tammy and Sam are equally responsible.

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