Equipment Corporation agrees to lease a woodchipper to Forest Management LLC. Before any interest in the woodchipper can pass from Equipment to Forest, it must be

Question

Quizplus · Accepted Answer

The woodchipper must exist and be identified in the contract before any interest in it can pass from Equipment to Forest. Possession is not a requirement for transferring ownership or interest in leased goods. A document of title is only required for certain types of goods, such as those transported by carrier (e.g. bills of lading), and is not necessary in this scenario.

Equipment Corporation Agrees to Lease a Woodchipper to Forest Management