Question
NO. Larry is not entitled to a refund because the risk of loss was transferred to him before the house burnt down and destroyed all
NO. Larry is not entitled to a refund because the risk of loss was transferred to him before the house burnt down and destroyed all the goods.
Step-by-step explanation
No. 2-509(3) provides the risk of loss rules for sales of goods not involving shipment or a bailee. Specifically, "the risk of loss passes to the buyer on tender of delivery" if the seller is not a merchant. Here, John is clearly not a merchant because he does not deal in goods of the kind under 2-104(1). Also, John is not a bailee because he simply allowed Larry to postpone the time of pickup, and thus does not fall under 2-509(2). The goods were clearly available for the buyer(Larry) he was the one who delayed in bringing the wrong vehicle. Thus, Larry is not entitled to a refund because the risk of loss passed to him before the house burned down
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started