Assuming a Buyer That Is Insolvent Has Breached a Contract

question 40

Multiple Choice

Assuming a buyer that is insolvent has breached a contract by not paying for goods that are in transit,which of the following may occur?

• A) The carrier may stop delivery on the entire shipment.
• B) The carrier may stop delivery only if the quantity shipped is a large shipment such as a carload or truckload.
• C) The carrier may stop delivery only if a signed writing exists by which the buyer agreed to the remedy of stopping shipment.
• D) The carrier may stop delivery only if ordered to do so by the bankruptcy judge.
• E) The carrier may not stop delivery under any circumstances.

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Definitions:

Morally Correct

Acting in accordance with ethical principles or accepted standards of right and wrong.

Fear Of Punishment

A psychological state where an individual anticipates negative consequences or suffering due to their actions or behaviors, which can affect decision-making and behavior modification.

Lack Of Empathy

Lack of empathy refers to the inability or difficulty in understanding or sharing the feelings of another person.

Amount Of Time

The duration or period during which an action, process, or condition exists or continues.