Exam 4 Flashcards
Under the UCC a merchant is a person who
In the ordinary course of business deals in goods of the kind &&
By his/ her skill or occupation holds himself out as having special skill or knowledge about the foods in the transaction
D) a and b
In business law, the initials “UCC” stand for
Uniform Commercial Code
Buyer purchased equipment. As part of the contract, seller agreed to install for an additional fee. After buyer used equipment problems started. Some problems were due to bad installation. Acc to the predominant factor rule:
D) The UCC applies to the entire contract if more problems are with the equipment than with the installation service
Sara bought sofa and left at SAMs club. Once she left it was torn. Risk of loss for the damage was on:
SAMs club because Sara never took possession of the sofa.
Under UCC, a contract, destination contract or shipment contract is
A shipment contract!
Jed stole Elis bike. If Jed sells the bike to Heath, Heath will recieve:
Void title whether or not Heath was a good faith purchaser.
NOTHING STOLEN CAN EVER GET VALID
Dave repaired a clock at a jeweler. The jeweler sold clock by accident. The customer who bought the clock obtains:
Void title bc the jeweler committed theft by selling it
Seller contracted to sell lumber. Destination contract and was destroyed by a hurricane before arriving at destination. Risk of loss:
Had not yet passed to the buyer and was on the seller when the lumber was destroyed
Mrs smith sold piano to George. He left it there and it got burned in a fire. If George sued, he’s likely
Lose because the risk of loss passed to George when mrs.smith said he could take the piano
Buyer and seller contract the sale of goods. Contract is shipment contract. Risk of loss for damage passed to the buyer when:
Seller places the goods in the possession of the carrier
Serena buys from minor. And sells to Mel who knows he’s a minor. Mel has
Voidable title subject to jays right to reclaim the boat because Mel knew Serena had purchaser it from a minor
A secured transaction is a transaction In which:
Choices a and b
The buyer pays seller with cash
The buyer pays seller with cc
A financing statement contains:
The debtors name and address
The creditors name and address
The price of the collateral
Bill purchased a car. Ford provided a loan to make monthly payments. Bill signed document that stated if he didn’t make the payments they would take away his car. The document is:
Security agreement
Bill purchased a car. Ford provided a loan to make monthly payments. Bill signed document that stated if he didn’t make the payments they would take away his car. To obtain the loan bill used the car as
Collateral
