If a seller supplies ten dishwashers in response to an order for ten washing machines-"F.O.B. the seller's warehouse"-and the goods are damaged in transit to the buyer's store, the loss falls on the seller.

Question

Quizplus · Accepted Answer

When goods are shipped F.O.B. the seller's warehouse, the risk of loss passes to the buyer when the goods are delivered to the carrier. In this case, the goods were damaged in transit to the buyer's store, so the loss falls on the buyer.

If a Seller Supplies Ten Dishwashers in Response to an Order