Business Law Today, Comprehensive 10th Edition by Roger LeRoy Miller

Exercise 3

Sales by Nonowners. Julian Makepeace, who had been declared mentally incompetent by a court, sold his diamond ring to Golding for value. Golding later sold the ring to Carmichael for value. Neither Golding nor Carmichael knew that Makepeace had been adjudged mentally incompetent by a court. Farrel, who had been appointed as Makepeace's guardian, subsequently learned that the diamond ring was in Carmichael's possession and demanded its return from Carmichael. Who has legal ownership of the ring Why