Question 1

When goods are delivered to a buyer via a common carrier,such as a trucking line,it is known as ________.

Accepted Answer

A)  A delivery-carrier contract
B)  A goods-in-bailment contract
C)  A simple delivery contract
D)  A common-carrier delivery contract
E)  An average delivery contractF) A) and B)
G) D) and E)

Question 2

What type of contract does Cleo have with Kool Klothes?

Accepted Answer

A)  Simple Delivery Contract
B)  Goods In Bailment Contract
C)  Sale-On-Approval Contract
D)  Common Carrier Delivery Contract
E)  Sale-Or-Return ContractF) All of the above
G) C) and D)

Question 3

Tasha buys a bicycle from Kelvin.Jeremy steals the bicycle from Tasha,and then sells it to Bronson.Bronson gives the bicycle to his nephew,Cedric as a gift.Who has the good title to the bicycle?

Accepted Answer

A)  Tasha
B)  Jeremy
C)  Kelvin
D)  Cedric
E)  BronsonF) A) and B)
G) A) and C)

Question 4

What was the court's ruling in City of Richmond v.Petroleum Marketers,Inc. ,the case in the text in which the court considered where the sale of petroleum occurred-where the contracts for the purchase of the oil were executed or where the goods were,in fact,delivered?

Accepted Answer

A)  Title to the petroleum passed when the product was pumped into whatever facility the buyer provided.
B)  Title to the petroleum passed when the product was pumped out of the seller's holding tank and into the seller's rented tanks.
C)  Title did not pass when the product was pumped out of the seller's holding tank.
D)  Goods were identified to the contract when the product was pumped out of the seller's holding tank and into the seller's rented tanks.
E)  Title did not pass when the product arrived at the buyer's facility.F) A) and B)
G) C) and D)

Question 5

In a goods-in-bailment contract,what does "deliver to the order of seller" indicate?

Accepted Answer

A)  A nonnegotiable document
B)  A negotiable document
C)  A shipment contract
D)  An origin contract
E)  An execution contractF) C) and D)
G) A) and D)

Question 6

Most buyer breaches occur when a buyer changes his or her mind about the price of the goods.

Accepted Answer

A) True 
 B)False  False

Question 7

Identification of when the risk of loss attaches is important in regards to the right of indemnification.

Accepted Answer

A) True 
 B)False

Question 8

In a conditional sales contract,a contract is a ________ when the seller and buyer agree that the buyer may return the goods at a later time.

Accepted Answer

A)  Sale-or-return contract
B)  Return-or-purchase
C)  Condition-or-sale contract
D)  Sale-on-approval contract
E)  Return-or-saleF) B) and E)
G) None of the above

Question 9

Which of the following is the correct outcome of the case discussed in the Case Opener,about whether title had passed to the entity that received shipment,although shipment was made to the wrong party,thereby preventing a lawsuit by the assignee of the original owner against the shipping company?

Accepted Answer

A)  That because the shipper breached its contract by improperly delivering goods,the lawsuit by the assignee was not barred.
B)  That while the original seller may have had rights to sue,the lawsuit by the assignee was barred under the Contracts for the International Sale of Goods.
C)  That the lawsuit by the assignee was barred because a destination title was involved,and risk of loss had passed to the buyer by the time of delivery,leaving the seller with no rights.
D)  That because title and risk of loss had not passed from the seller,who had contracted with the shipper,to the buyer at the time of transfer,the lawsuit by the assignee was not barred.
E)  That the lawsuit by the assignee was barred because an origin title was involved,and risk of loss had passed to the buyer by the time of delivery,leaving the seller with no rights.F) B) and E)
G) C) and D)

Question 10

Which statement is correct regarding CIF agreements?

Accepted Answer

A)  Risk of loss occurs when goods are identified to the contract.
B)  Risk of loss remains with the seller for 5 days after the sale.
C)  Risk of loss remains with the seller for 5 days before the sale.
D)  Risk of loss occurs when the goods are delivered to the buyer.
E)  The seller puts the goods in possession of a carrier before the risk passes to the buyer.F) A) and E)
G) None of the above

Question 11

When purchased goods are transferred to the buyer from the seller,at either the time of the sale or some time later by the seller's delivery,and the seller has an agent deliver the goods to the buyer,which of the following occurs?

Accepted Answer

A)  An acknowledged sale
B)  A simple delivery contract
C)  A complex delivery contract
D)  An average delivery contract
E)  A voidable delivery contractF) D) and E)
G) A) and B) B

Question 12

[Used Car Problems] Jamila purchased a used car from Slick Sid's car dealership.Six months later the police seized the car from Jamila on the basis that it was a stolen vehicle.Jamila asked for her money back from Slick Sid's.The manager of Slick Sid's told her that the car was not stolen,but that even if it were,Slick Sid's acted in good faith with no knowledge of a theft;and that,therefore,Jamila,as a good-faith purchaser,had a good title.Slick Sid's had also sold a used car to Hiro who wrote a bad check for the car and left town,but not before selling the car to Doris.Doris purchased the car with no knowledge of any problem with the check.Slick Sid's asked Doris to return the car,but she refused.She explained that she had given the car to her son,Ricky.
-If Jamila's car was stolen prior to delivery to Slick Sid's,and no one at the car dealership knew,what kind of title did Slick Sid's have?

Accepted Answer

A)  Voidable so long as no manager of Slick Sid's had made an affirmative representation that the car was not stolen.
B)  Voidable so long as Slick Sid's can prove that it had never been charged with dealing in stolen merchandise.
C)  Void
D)  Good
E)  Voidable so long as Slick Sid's can prove that none of its representatives were negligent in disregarding evidence of the theft at any time prior to its resale to Jamila.F) B) and E)
G) A) and C)

Question 13

In an origin contract,when does title pass to the buyer?

Accepted Answer

A)  When goods are identified to the contract
B)  When the items are delivered to the buyer
C)  At the time and place of shipment
D)  When money is transferred to the seller
E)  One day after goods are identified to the contractF) A) and B)
G) C) and D) C

Question 14

Ramona's rights to the car are best summarized by which of the following statements?

Accepted Answer

A)  Ramona must return the car to the repair shop.
B)  Ramona can keep the car only if the repair shop voluntarily agrees to pay Julio the fair market value of the car.
C)  Ramona can keep the car without paying anyone anything only if the repair shop is bankrupt or insolvent.
D)  Ramona can keep the car without paying anyone anything extra.
E)  Ramona must give the car to Julio.F) A) and B)
G) A) and C)

Question 15

Discuss the most common ways sales contracts are breached.What remedies are available to a buyer when a seller fails to provide the goods described in the contract? What are the UCC provisions regarding the consequences of a revocation of the contract?

Accepted Answer

The failure to deliver goods i...

Question 16

When deciding whether someone with a void title can pass a good title,good faith is a generally relevant consideration.

Accepted Answer

A) True 
 B)False

Question 17

What happens when a buyer with a voidable title sells the goods to a third-party purchaser who makes a good-faith purchase for value?

Accepted Answer

A)  The purchaser gets good title.
B)  The purchaser gets good-faith title.
C)  The purchaser gets voidable title.
D)  The purchaser gets void title.
E)  The purchaser gets reclaimable title.F) A) and C)
G) B) and D)

Question 18

With a simple delivery contract,when does title transfer to the buyer?

Accepted Answer

A)  When the buyer takes possession
B)  One day after goods are identified to the contract
C)  When money is transferred
D)  When the items are delivered
E)  When goods are identified to the contractF) D) and E)
G) B) and E)

Question 19

What is the term for the kind of title Hiro had?

Accepted Answer

A)  Illegal
B)  Voidable
C)  Absolute
D)  Good
E)  VoidF) A) and B)
G) B) and D)

Question 20

[Accidental Sale] Julio entrusted his automobile to Slick Sid's for repair.The manager of Slick Sid's,who did a very poor job with inventory,accidentally sold the car to Ramona.Ramona,who paid cash for the car,had no idea that the car did not belong to Slick Sid's and paid fair market value for it.When Julio went to pick up the car,he was very upset that it was gone.The manager of Slick Sid's told him that he was very sorry,but that his only recourse would be against Ramona.
-What is the proper identifying term for Ramona?

Accepted Answer

A)  An interested purchaser for value
B)  A good-faith purchaser
C)  A void purchaser
D)  A voidable purchaser
E)  A valid purchaserF) C) and E)
G) A) and D)

Exam 22: Title,risk of Loss,and Insurable Interest

When goods are delivered to a buyer via a common carrier,such as a trucking line,it is known as ________.

Correct Answer
verified

What type of contract does Cleo have with Kool Klothes?

Correct Answer
verified

Tasha buys a bicycle from Kelvin.Jeremy steals the bicycle from Tasha,and then sells it to Bronson.Bronson gives the bicycle to his nephew,Cedric as a gift.Who has the good title to the bicycle?

Correct Answer
verified

What was the court's ruling in City of Richmond v.Petroleum Marketers,Inc. ,the case in the text in which the court considered where the sale of petroleum occurred-where the contracts for the purchase of the oil were executed or where the goods were,in fact,delivered?

Correct Answer
verified

In a goods-in-bailment contract,what does "deliver to the order of seller" indicate?

Correct Answer
verified

Most buyer breaches occur when a buyer changes his or her mind about the price of the goods.

Correct Answer
verified
False

Identification of when the risk of loss attaches is important in regards to the right of indemnification.

Correct Answer
verified

In a conditional sales contract,a contract is a ________ when the seller and buyer agree that the buyer may return the goods at a later time.

Correct Answer
verified

Which of the following is the correct outcome of the case discussed in the Case Opener,about whether title had passed to the entity that received shipment,although shipment was made to the wrong party,thereby preventing a lawsuit by the assignee of the original owner against the shipping company?

Correct Answer
verified

Which statement is correct regarding CIF agreements?

Correct Answer
verified

When purchased goods are transferred to the buyer from the seller,at either the time of the sale or some time later by the seller's delivery,and the seller has an agent deliver the goods to the buyer,which of the following occurs?

Correct Answer
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B

Correct Answer
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In an origin contract,when does title pass to the buyer?

Correct Answer
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C

Ramona's rights to the car are best summarized by which of the following statements?

Correct Answer
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Discuss the most common ways sales contracts are breached.What remedies are available to a buyer when a seller fails to provide the goods described in the contract? What are the UCC provisions regarding the consequences of a revocation of the contract?

Correct Answer
verified
The failure to deliver goods i...
View Answer

When deciding whether someone with a void title can pass a good title,good faith is a generally relevant consideration.

Correct Answer
verified

What happens when a buyer with a voidable title sells the goods to a third-party purchaser who makes a good-faith purchase for value?

Correct Answer
verified

With a simple delivery contract,when does title transfer to the buyer?

Correct Answer
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What is the term for the kind of title Hiro had?

Correct Answer
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Correct Answer
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Exam 22: Title,risk of Loss,and Insurable Interest

When goods are delivered to a buyer via a common carrier,such as a trucking line,it is known as ________.

Correct AnswerverifiedShow Answer

What type of contract does Cleo have with Kool Klothes?

Correct AnswerverifiedShow Answer

Tasha buys a bicycle from Kelvin.Jeremy steals the bicycle from Tasha,and then sells it to Bronson.Bronson gives the bicycle to his nephew,Cedric as a gift.Who has the good title to the bicycle?

Correct AnswerverifiedShow Answer

What was the court's ruling in City of Richmond v.Petroleum Marketers,Inc. ,the case in the text in which the court considered where the sale of petroleum occurred-where the contracts for the purchase of the oil were executed or where the goods were,in fact,delivered?

Correct AnswerverifiedShow Answer

In a goods-in-bailment contract,what does "deliver to the order of seller" indicate?

Correct AnswerverifiedShow Answer

Most buyer breaches occur when a buyer changes his or her mind about the price of the goods.

Correct AnswerverifiedFalse

Identification of when the risk of loss attaches is important in regards to the right of indemnification.

Correct AnswerverifiedShow Answer

In a conditional sales contract,a contract is a ________ when the seller and buyer agree that the buyer may return the goods at a later time.

Correct AnswerverifiedShow Answer

Which of the following is the correct outcome of the case discussed in the Case Opener,about whether title had passed to the entity that received shipment,although shipment was made to the wrong party,thereby preventing a lawsuit by the assignee of the original owner against the shipping company?

Correct AnswerverifiedShow Answer

Which statement is correct regarding CIF agreements?

Correct AnswerverifiedShow Answer

When purchased goods are transferred to the buyer from the seller,at either the time of the sale or some time later by the seller's delivery,and the seller has an agent deliver the goods to the buyer,which of the following occurs?

Correct AnswerverifiedB

Correct AnswerverifiedShow Answer

In an origin contract,when does title pass to the buyer?

Correct AnswerverifiedC

Ramona's rights to the car are best summarized by which of the following statements?

Correct AnswerverifiedShow Answer

Discuss the most common ways sales contracts are breached.What remedies are available to a buyer when a seller fails to provide the goods described in the contract? What are the UCC provisions regarding the consequences of a revocation of the contract?

Correct AnswerverifiedThe failure to deliver goods i...View AnswerShow Answer

When deciding whether someone with a void title can pass a good title,good faith is a generally relevant consideration.

Correct AnswerverifiedShow Answer

What happens when a buyer with a voidable title sells the goods to a third-party purchaser who makes a good-faith purchase for value?

Correct AnswerverifiedShow Answer

With a simple delivery contract,when does title transfer to the buyer?

Correct AnswerverifiedShow Answer

What is the term for the kind of title Hiro had?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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False

Correct Answer
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Correct Answer
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B

Correct Answer
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C

Correct Answer
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The failure to deliver goods i...
View Answer

Correct Answer
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Correct Answer
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