Pan-Canada Delivery Inc Is a Common Carrier

question 59

Multiple Choice

Pan-Canada Delivery Inc is a common carrier.It accidentally damaged an expensive shipment of goods.Nevertheless, it cannot possibly be held liable if

• A)it exercised as much care as possible.
• B)the damage was caused by a rainstorm.
• C)the shipping contract contains a clause that says that "liability will not be imposed for lost goods, whether or not the loss was caused by the carrier's carelessness or fault" and no more.
• D)the goods were damaged by an inherent vice.
• E)the shipper provided consideration in exchange for Pan-Canada's services.

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Definitions:

Unearned Interest

Interest that has been collected on a loan by a lender but not yet earned because the loan principal has not been fully disbursed.

Bargain Purchase Option

A clause in a lease agreement allowing the lessee to purchase the leased asset at the end of the lease term at a price significantly below its expected fair market value.

Executory Costs

Expenses related to executing a contract, such as maintenance and insurance costs, that are typically incurred over the contract's term.