Robert steals a truckload of plasma televisions that belong to Karson Electronics Store in an armed robbery.He then resells it to Stu-Mart, who is unaware of the stolen nature of the goods.Karson Electronics Store then traces the plasma televisions to Stu-Mart.Robert is also arrested for the theft.Which of the following is true for Karson Electronics' legal course for reclaiming the televisions or damages?

Question

Quizplus · Accepted Answer

Since the plasma televisions were stolen from Karson Electronics Store, Robert did not have a valid title to them, and hence, he could not transfer valid title to Stu-Mart. Therefore, Stu-Mart must hand over the televisions to Karson as their title to the goods is void. Stu-Mart, as a buyer in the ordinary course of business, is not protected in this case because the nature of the goods is such that a reasonable inquiry is necessary to establish that they are legitimate. Karson's recourse against Robert is separate and does not affect their right to reclaim the goods from Stu-Mart. Therefore, option B is the correct answer.

Robert Steals a Truckload of Plasma Televisions That Belong to Karson