In the Text's Case of National Compressor Corp

question 7

Multiple Choice

In the text's case of National Compressor Corp. v. Carrow and McGee, the court considered whether a buyer, who purchased a compressor that was subsequently destroyed in a fire on a third party's premises before the buyer took possession, had an insurable interest since title had not yet passed and thus could bring suit against the third party. What was the court's ruling?

• A) The buyer could not sue the third party because it did not have an insurable and special interest.
• B) The buyer had an insurable and special interest but could not sue the third party because the goods had not been identified to the contract.
• C) The buyer had an insurable and special interest and could sue the third party because the goods had been identified to the contract.
• D) The buyer had an insurable and special interest and could sue the third party regardless of whether or not goods had been identified to the contract.
• E) The buyer could not sue the third party because title had not passed and thus, it did not have an insurable interest.

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Definitions:

Under 21 Years

A legal or social distinction applied to individuals who have not yet reached the age of 21, often in the context of age-limited activities or rights.

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Fatalities resulting from lung cancer, which is a disease characterized by uncontrolled cell growth in tissues of the lung.

Smoking

The act of inhaling and exhaling the smoke of burning tobacco in cigars, cigarettes, or pipes.

BAC

Blood Alcohol Concentration, a measure of alcohol intoxication for legal or medical purposes, indicating the percent of alcohol in the bloodstream.