Question
Use these facts to answer (2) and (3) On January 2, 2019, Liberty Law Co. (Liberty), a retail store, contracted to buy 50 riding lawnmowers
Use these facts to answer (2) and (3)
On January 2, 2019, Liberty Law Co. (Liberty), a retail store, contracted to buy 50 riding lawnmowers for its inventory from John Deere Co., for $100,000. On the same day, Liberty paid $50,000 in cash to John Deere and signed a security agreement listing the lawnmowers as collateral for 12 consecutive monthly payments to John Deere for the balance. On February 1, 2019, the riding lawnmowers were delivered to Liberty. On February 2, 2019, John Deere filed a financing statement naming Liberty as a Debtor and the 50 riding lawnmowers as collateral. On April 1, 2019, Mike, a customer, purchased a riding lawnmower from Liberty. Mike knew from his discussion with the Liberty sales clerk that each lawnmower in Libertys inventory was covered by the John Deeres security interest. John Deeres security interest in the lawnmowers attached on _____, 2019 and was perfected on______, 2019.
Select one: a. January 2...February 1 b. February 1...February 2 c. January 2 ... February 1 d. January 2...February 2 e. none of the above
2. Under UCC Article 9, which if the following purchasers will own consumer goods free of a perfected security interest in the sale of goods?
Select one: a. a merchant who purchases the goods for resale b. a merchant who purchases the goods for use in its business c. a consumer who purchases the goods from a consumer purchaser who gave the security interest d. a consumer who purchases goods in the ordinary course of business
3. Use the facts stated above to answer the following If Liberty fails to make its monthly payments to John Deere, the lawnmower Mike bought from Liberty
Select one: a. can be taken from Mike by John Deere because Mike knew about the security interest at the time of the purchase b. can be taken from Mike by John Deere, sold, and the proceeds of the sale applied to the balance owed by Liberty c. can NOT be taken from Mike by John Deere d. choices (a) and (b) are both correct e. none of the above
4. To create an enforceable security interest between Mortgage Bank and National Property Company with a written security agreement, the agreement must be signed by
Select one: a. a disinterested third-party witness, b. the creditor, c. the debtor, d. all of the above, e. none of the above
5. John is a cabinet maker. Tammy contracts with John to make in her home and install a custom bookcase in Tammys house for $4,000. John completes the bookcase, but Tammy does not pay. To obtain the amount that is owed, John can use Select one: a. an artisan's lien b. mechanic's lien c. writ of execution d. surety e. attachment
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