[Wrecked Toaster] Ivan goes to upscale housewares store Smith-Napa to buy himself a nice new toaster, because his old one broke. The store does not have the model he wants in stock, but they can have it shipped from the warehouse directly to Ivan. It is agreed that the toaster will be placed with a common carrier for delivery. The contract between Ivan and Smith-Napa is ambiguous regarding whether the seller had the duty to deliver the goods only to the common carrier's hands or whether the seller had the duty to deliver the goods to Ivan's home. Unfortunately, on the way to Ivan's home, through no fault of the delivery driver, the delivery truck was involved in a collision, and the toaster was damaged beyond repair.
-Because the contract was ambiguous about whether the seller had the duty to deliver the goods to either the common carrier's hands or all the way to Ivan's home, what type of contract is presumed?
A) Transit
B) Location
C) Destination
D) Origin
E) Voidable

Question

Quizplus · Accepted Answer

In the absence of clear terms, the contract is presumed to be a shipment contract (Origin), where the seller's responsibility ends once the goods are delivered to the common carrier.

[Wrecked Toaster] Ivan Goes to Upscale Housewares Store Smith-Napa to Buy