When negotiable documents of title to goods are sold, the risk of loss and the title to the goods pass to the buyer when the documents are delivered to the buyer.

Question

Quizplus · Accepted Answer

This statement is true. When negotiable documents of title to goods are sold, the risk of loss as well as the title to the goods passes to the buyer when the documents are delivered to them. This is because the documents of title represent the goods themselves and control their possession and transfer.

When Negotiable Documents of Title to Goods Are Sold, the Risk