Jonathan Sells Crates of Tomatoes on Board the SS Apapa

question 95

Multiple Choice

Jonathan sells crates of tomatoes on board the SS Apapa to Margaret.At the time of the sale,both parties are unaware that the crates were washed overboard.What is the status of the contract between Jonathan and Margaret?

• A)Jonathan is still the owner of the shipment.Jonathan bears the loss and will have to refund Margaret's money.
• B)Margaret has to pay the agreed price and recover from her insurance.
• C)The ownership passed to Margaret,but Jonathan is still in possession,and so he is liable.
• D)Margaret is the new owner of the tomatoes and has to bear the loss.
• E)Margaret may sue Jonathan for the tort of deceit.

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Definitions:

Authority to Manage

Refers to the power or right delegated to an individual or group to make decisions and oversee the administration of an organization, property, or legal entity.

Executive Corporate Officer

A high-ranking individual within a corporation, responsible for making major corporate decisions.

Potential Liability

The possibility of being responsible for some future obligation or facing legal penalties.

Specially Customized

Tailored or adapted for a specific purpose, user, or requirement, often involving unique modifications or designs.