A contract requires Jim,a farmer,to ship 1,000 dozen eggs to Tim,a grocer.The shipment states "FOB Jim's Farm." If the eggs are lost or damaged:
A)Tim is still responsible for paying Jim for them.
B)Tim is no longer responsible for paying Jim for them.
C)Jim bears the risk of loss.
D)The parties split the risk of loss.

Question

Quizplus · Accepted Answer

In the normal performance of a contract,the seller delivers conforming goods (goods that meet the contract specifications)to the buyer.The buyer accepts the goods and pays for them.The seller is entitled to the purchase price of all goods accepted by the buyer.She also is entitled to the purchase price of all goods that conformed to the contract and were lost or damaged after the buyer assumed the risk for their loss [2-709].Since the eggs were shipped FOB,the risk of loss transferred to Tim when Jim shipped the eggs.

A Contract Requires Jim,a Farmer,to Ship 1,000 Dozen Eggs to Tim,a