Asked by Benjamin Cohen on May 18, 2024
Verified
Under a shipment contract, the seller passes title to the buyer when the goods arrive.
Shipment Contract
An agreement in which the seller is obligated to send goods to a buyer, but the risk of loss passes to the buyer when the goods are delivered to the carrier.
Title Passes
The point at which ownership of property is transferred from one party to another according to the terms of a contract.
Goods Arrive
The event or process where purchased or ordered products reach their destination or the buyer's location.
- Differentiate between contracts for shipment and contracts for destination.
Verified Answer
MM
Manuel MolinaMay 23, 2024
Final Answer :
False
Explanation :
Under a shipment contract, title passes to the buyer when the goods are delivered to the carrier.
Learning Objectives
- Differentiate between contracts for shipment and contracts for destination.