Dubious in Hammingbell sold a number of auto parts, FOB Hammingbell, in boxes to Dealer in Vernon Mtn.; the goods were shipped via Trucking Co. When the load arrived at Dealer's place Deal-er insisted the driver unload the boxes inside the store. The driver refused; sharp words were ex-changed, and the goods were not unloaded. Subsequently they were lost. Dubious demanded pay-ment from Dealer. Which is correct?
A) Dubious wins because Dealer should have accepted the goods and sued Trucking Co. for breach of contract.
B) Dealer wins because Trucking Co. was an agent of Dubious'.
C) Dealer wins because Dubious acted unreasonably in contracting with Trucking Co.
D) Dubious wins because he made a proper delivery to Trucking Co. in Hammingbell.
E) None of the above.

Question

Dubious in Hammingbell sold a number of auto parts, FOB Hammingbell, in boxes to Dealer in Vernon Mtn.; the goods were shipped via Trucking Co. When the load arrived at Dealer's place Deal-er insisted the driver unload the boxes inside the store. The driver refused; sharp words were ex-changed, and the goods were not unloaded. Subsequently they were lost. Dubious demanded pay-ment from Dealer. Which is correct? 
A) Dubious wins because Dealer should have accepted the goods and sued Trucking Co. for breach of contract.
B) Dealer wins because Trucking Co. was an agent of Dubious'.
C) Dealer wins because Dubious acted unreasonably in contracting with Trucking Co.
D) Dubious wins because he made a proper delivery to Trucking Co. in Hammingbell.
E) None of the above.

Quizplus · Accepted Answer

Dubious wins because the delivery terms were FOB Hammingbell, meaning the risk of loss transferred to Dealer once the goods were delivered to the carrier, Trucking Co., in Hammingbell.

Dubious in Hammingbell Sold a Number of Auto Parts, FOB