Exam 19: Title to Goods and Risk of Loss

A consignment is treated as a sale or return contract under the UCC.

In a sale or return contract, the buyer has the option of returning all the goods to the seller.

Jason orders one hundred remote-controlled toy cars from RyBy Toys. In the contract, it is stipulated that RyBy Toys will transport the toy cars via FlyByNight, a national carrier service. RyBy Toys makes the arrangements and hands over the toys to FlyByNight without the remote-controllers. What was the nature of the contract between Jason and RyBy Toys?

Article 2 of the Uniform Commercial Code (UCC) adopts rules for risk of loss that are closely tied to title.

What is the method of identification of goods specified under UCC guidelines?

C.&F. is a pricing term that means that the price includes the cost of the goods and the costs of insurance and freight.

Steve brings his watch to Knell Watches to be repaired. Knell Watches sells and repairs watches. Steve entrusts his watch at Knell's until it is repaired. The watch store repairs the watch, but then sells it to Kevin, who buys the watch with a fraudulent check that bounced. Kevin then resells the watch to his friend Jonathan, who is unaware of the stolen nature of the watch. Who can legally claim ownership over the watch in court?

Article 2A (Leases) of the UCC establishes rules regarding title and risk of loss for leased goods.

Jason orders one hundred remote-controlled toy cars from RyBy Toys. In the contract, it is stipulated that RyBy Toys will transport the toy cars via FlyByNight, a national carrier service. RyBy Toys makes the arrangements and hands over the toys to FlyByNight without the remote-controllers. Which of the following is a breach of contract?

Which of the following parties to a shipment contract bears the risk of loss of goods during transport?

What is the passage of title to goods?

A title for goods obtained by a seller through fraud, impersonation, or a dishonored check is referred to as a(n) ________.

From the following options, identify the commonly used shipping term that calls for the seller to arrange to ship the goods and put the goods in the carrier's possession.

In an F.O.B. point of shipment, the buyer bears the risk of loss while the goods are in transit.

What kinds of goods are termed as future goods?

How does the UCC treat goods that were fraudulently obtained?

In a shipment contract, when is the title to the goods considered to have passed to the buyer?

A shipment contract requires the seller to deliver goods to a destination specified in the sales contract.

The real owner cannot reclaim goods from a good faith purchaser.

In a sale on approval, there is no sale unless and until the buyer accepts the goods.