(Sales) Risk of Loss Agreement of the Parties Flashcards
a contract will only be deemed to provide for delivery “at a particular destination” if the agreement uses a term like
“F.O.B.” or states specifically that the risk of loss does not pass to the buyer until the goods are delivered to a specific location.
If the parties’ agreement provides that the goods will be delivered to “buyer’s residence” or “177A Bleeker Street, Greenwich Village, N.Y.” will that be sufficient to say the agreement provides for delivery “at a particular destination”?
No (because the parties did not use a term like “F.O.B.,” and did not specifically address the risk of loss)
Policy for this interpretation:
Every agreement presumably will call for delivery to the buyer’s address (in other words, every agreement will have a “ship to” address); without a special (or bizarre) interpretation of the words, the risk of loss would always be on the seller until delivery.