In the event goods are held by a bailee,which of the following is true about risk of loss?
A)The buyer has the risk of loss.
B)Risk of loss remains with the seller until the buyer retrieves the goods from the bailee.
C)Risk of loss remains with the seller until the bailee agrees to hold the goods for the buyer.
D)The bailee has the risk of loss.

Question

Quizplus · Accepted Answer

If the goods in the possession of a bailee are not covered by a negotiable warehouse receipt,then the seller must notify the bailee that it has sold the goods to the buyer and must obtain the bailee's consent to hold the goods for delivery to the buyer or release the goods to the buyer.The risk of loss as to the goods remains with the seller until the bailee agrees to hold them for the buyer [2-503(4) (b)].

In the Event Goods Are Held by a Bailee,which of the Following