James agreed to sell a widget to Claire for $10 000.She intended to use that item for her personal use.Under the terms of the contract, James agreed to deliver the widget to her on July 1 and Claire promised to pay the full price on the same day.James delivered the widget to Claire, but she did not pay the price as promised.If Claire is insolvent, James is entitled to either exercise a lien over the property or exercise the right of repossession under the Bankruptcy and Insolvency Act.

Question

Quizplus · Accepted Answer

In this scenario, since the widget has already been delivered to Claire for her personal use, James's ability to exercise a lien or right of repossession would not typically fall under the Bankruptcy and Insolvency Act. Instead, his remedies would be governed by the terms of the contract and relevant commercial or contract law, not bankruptcy law, unless specific provisions were included in their agreement or applicable state or national laws provide such rights in cases of insolvency.

James Agreed to Sell a Widget to Claire for $10