Medico Records Company orders thirty hard drives from Nano Computers,Inc.The hard drives are stored in Enviro Warehouse.Under the terms of the order,Nano must give Medico a warehouse receipt for the goods,which Medico will then pick up.Title to the goods passes to Medico when
A)Enviro stores the drives.
B)Medico orders the drives.
C)Medico picks up the drives.
D)Nano gives Medico a warehouse receipt for the drives.

Question

Quizplus · Accepted Answer

Title to the goods passes to Medico when Nano gives them a warehouse receipt for the drives. This is because the warehouse receipt is a document of title that represents ownership of the goods stored in the warehouse. Therefore, once Medico receives the warehouse receipt from Nano, they become the rightful owner of the hard drives, even though they have not physically picked them up yet.

Medico Records Company Orders Thirty Hard Drives from Nano Computers,Inc