Exam 23: Transfer of Title and Risk of Loss

Alex tells Mona that he thinks her ring is very valuable and that he would like to take it to be appraised.She gives him the ring,and he quickly sells it to unsuspecting Hanna's Antique Jewelry Shop for $1,000.A week later,Mona discovers her ring on sale for $2,000 at Hanna's and uncovers the story.Can Mona get the ring back?

Dividing the risk and the shift of allocation of risk are options by agreement of both parties.

The bulk sales portion of the Code applies only to transfers in the ordinary course of business.

The UCC "risk of loss" rules apply only when title is transferred.

Which of the following is/are required for a valid tender under the Code? The seller must:

Although he knows the ring is really valuable,Alex tells Mona her ring contains artificial gems,but he would be willing to buy it for $50.Mona agrees.Alex quickly takes the ring to Hanna's Antique Jewelry Shop and sells it for $1,000.A month later,Mona sees her ring on sale for $2,000 at the shop.Is Mona entitled to get the ring back?

Discuss who has the risk of loss in the absence of a breach in a destination contract for the sale of goods.Also discuss the effect of an agreement of the parties.

Brenda agrees to lease a new car from Hyland Motors.Which of the following statements is true?

In a lease of personal property,title does not pass.

Title to existing,identified goods can pass whenever the parties agree it will pass.

Under the UCC,identifying goods to which a contract refers gives the buyer a special property interest which permits the holder to:

Security interests in goods are governed by the common law rather than the UCC.

The distinction between a void and voidable title is not a factor in determining the rights of good faith purchasers of goods.

Kollenberg's sold a substantial part of its equipment to Castillo Brothers.Nothing else was involved in the sale.The sale of the equipment is a bulk transfer under the Code.

Which of the following is true regarding identification of the goods under Article 2?

Steve sold his canoe to his neighbor Rhonda and she paid him $300.Steve then tells Rhonda,"I'll put the canoe in my driveway and you can pick it up any time tomorrow." Steve retains risk of loss until Rhonda picks up the canoe.

Property law protects existing ownership of goods.A principal belief underlying this policy is:

Under the CISG:

The UCC uses a transactional approach to risk of loss questions.

If goods are fungible,identification of a share of undivided goods occurs when the parties enter into the contract.