REG Deck 5 Flashcards
What is one example when a voluntary petition in bankruptcy will be denied?
If the debtor failed to keep or preserve adequate books and records
When is an offer made by an offeror not revocable?
When the offeree paid consideration to keep the offer open (aka option)
What are the four exceptions to the statue of frauds?
SWAP
Specially manufactured goods
Where a merchant sends another merchant a WRITTEN CONFIRMATION
Contract that parties have ADMITTED in court
Contracts that have been PERFORMED
If the seller is not a merchant, when does the risk of loss pass to the buyer?
When the seller notifies the buyer that the goods are ready for deliver/pick up
If the seller is a merchant, when does the risk of loss pass to the buyer?
Risk of loss passes only when the goods have actually been delivered to the buyer.
When does risk of loss pass to the buyer when it is FOB seller’s place?
Risk of loss passes when the seller gets the goods to the carrier
When does risk of loss pass to the buyer when the contract is FOB buyer’s place?
Risk of loss passes when the goods reach the destination and seller notifies that the goods have been delivered.
If the goods are nonconforming, risk of loss is always on the ____________ regardless of the shipping terms.
seller
Implied in every sales contract is the warranty that the seller has good title and the right to transfer that title
implied warranty of title
The implied warranty of title can be disclaimed only ___________ (I do not warrant title) or _____________ (judicial sale)
specifically
circumstance
The express warranty is that the goods will conform to the statement of _______, to the description, or the sample or model
fact
This arises by the sale of goods where seller has a reason to know of particular purpose and of buyer’s reliance on seller to choose suitable goods
warranty of fitness for particular purpose
This arises by sale of goods of the kind regularly sold by the merchant that the goods are fit for ordinary purposes
implied warranty of merchantability
When is a writing necessary to create a principal agent relationship?
If the agent will enter into land sale contracts
If a partner wants to sell their shares and there is no mention of a buyout process in the partnership agreement, how is the value of the shares decided?
FMV of the shares