Scott, a minor, sells his digital camera to Megan, who then sells it to Sherry. Under these circumstances:
A) Scott retains the power of avoidance of the contract, since he is a minor, even after the property is sold to Sherry.
B) if Sherry is a good faith purchaser for value and she buys the camera before Scott elects to rescind, no rescission is permitted.
C) Megan and Sherry both received a voidable title regardless of whether they contracted in good faith.
D) if Scott wants to rescind the transaction after the sale to Sherry, a good-faith purchaser for value, he has no remedy or recourse.

Question

Quizplus · Accepted Answer

If Sherry is a good faith purchaser for value and she buys the camera before Scott elects to rescind, no rescission is permitted under the rules of the Uniform Commercial Code. This is known as the good faith purchaser defense. Megan, however, did not have title to the camera since Scott, being a minor, could avoid the contract at any time. Therefore, Megan gave Sherry a voidable title, which means that Sherry's title is valid against Megan but not against Scott. However, since Sherry is a good faith purchaser for value, she can keep the camera and Scott has no recourse against her.

Scott, a Minor, Sells His Digital Camera to Megan, Who