Exam 19: Formation and Terms of Sales Contracts

Baker and Able signed a contract,which required Able to purchase 600 books from Baker at Baker's wholesale cost at the time of delivery.Under the circumstances,the oral agreement is:

In Capshaw v.Hickman,the case in the text,the court reversed the trial court's judgment because:

The only difference between C & F and CIF shipping contracts is:

Cey Corp.entered into a contract to sell parts to Deck,Ltd.The contract provided that the goods would be shipped "FOB Cey's warehouse." Cey shipped parts different from those specified in the contract.Deck rejected the parts.A few hours after Deck informed Cey that the parts were rejected,they were destroyed by fire in Deck's warehouse.Cey believed that the parts were conforming to the contract.Which of the following statements is correct?

When determining the risk of loss,it makes no difference whether the goods delivered by the seller conformed to the contract.

Article 2 of the UCC only applies to transactions in goods.

In the case in the text,State of Connecticut v.Cardwell,the court held that the defendant did not sell tickets in Connecticut because:

Parties to a sales contract should act in a commercially reasonable manner and in good faith.

At common law,the risk of loss for shipped goods falls upon the person or party who had "technical title" at the time the goods were damaged or destroyed.

In mixed goods-services situations,courts determine whether the contract is for the sale of goods by determining whether the good or the service is the dominant part of the transaction.

If the UCC recognizes the fact that parties to sales contracts frequently omit terms from their agreements or state ambiguous terms,then the Code:

Article 2A of the UCC deals exclusively with leases of goods.

Which of the following regarding merchants and the UCC is false?

In Noble Roman's v.Pizza Boxes,the case in the text,the court held that:

A bicycle manufacturer sells 100 bikes to Bill's Bike Shop.The contract says that Bill's may return any bike not sold within six months and be reimbursed for them.Bill's Bike Shop burns down one week after the delivery of the bikes,which are destroyed in the fire.Bill's bears the risk of loss for the 100 bikes.

Goods are being sold by Anne in Seattle and shipped by ABC Railroad to Brian in Portland,Oregon.In this situation,the term "FOB Seattle" means that the risk of loss passes from the seller to the buyer when:

In a ________ contract,the goods are delivered to the buyer primarily for the buyer's use.

Frank,a business law professor who has never sold a car before;sells his 1995 Honda Civic to Wanda.This sale is governed by:

Mei issues a purchase order to June for goods that cost $25,000.June agrees to provide the same but she does not sign the purchase order.Mei can file a suit for the breach of contract.

Which of the following terms in a contract for the sale of goods requires the seller to insure the goods?