[Kool Klothes] Cleo recently opened an exclusive designer clothing store. She contracts with Kool Klothes to sell their high-end designer line. The contract states Kool will ship clothes each week, and Cleo has a month to pay for the clothes or she can return any merchandise she does not sell. The arrangement works well for several months, but then Kool Klothes notices several suits Cleo returns via a courier service are damaged. Also, during a weekly delivery of the Kool Klothes truck, the driver gets into a car accident, and several formal ball gowns are damaged.
-What type of contract does Cleo have with Kool Klothes?
A) Simple delivery contract
B) Common carrier delivery contract
C) Goods in bailment contract
D) Sale-on-approval contract
E) Sale-or-return contract
Correct Answer:
Verified
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