Assuming a Buyer That Is Insolvent Has Breached a Contract

question 33

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.
• 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:

Injured Ankle

A physical condition involving harm or damage to the ankle often resulting from an accident or sports activity.

Sidewalk

A paved path for pedestrians on the side of a street or road.

Rattlesnake

A venomous snake known for the distinctive rattle at the end of its tail, which it uses as a warning signal.

Liable

Refers to the legal responsibility or obligation of an individual or entity to remedy a loss, harm, or injury caused to another party.