Who is protected by the entrustment rule?
A) a good faith purchaser
B) a good faith purchaser in the ordinary course of business
C) a buyer in the ordinary course of business
D) a good faith buyer for value
E) the real owner of the goods at issue

Question

Quizplus · Accepted Answer

The entrustment rule protects a buyer in the ordinary course of business, who purchases from a merchant who is in the business of selling goods of that kind. This means that if the owner of goods entrusts them to a merchant, and this merchant sells them to a buyer in the ordinary course of business, the buyer takes free of the original owner's claim to the goods.

Who Is Protected by the Entrustment Rule