Business Law and the Regulation of Business 11th Edition by Richard Mann, Barry Roberts

Exercise 9

On May 10, the Adair Company, acting through Brown, entered into a contract with Clark for the installation of a milking machine at Clark's farm. Following the enumeration of the articles to be furnished, together with the price of each article, the written contract provided: ''This machinery is subject to thirty days' free trial and is to be installed about June 1.'' Within thirty days after installation, all the purchased machinery, except for a double utility unit, was destroyed by fire through no fault of Clark's. The Adair Company sued Clark to recover the value of the articles destroyed. Explain who bears the risk of loss.