Entrusting goods to a merchant who deals in goods of the kind gives the merchant power to transfer all rights to a buyer in the ordinary course of business.

Question

Quizplus · Accepted Answer

This is known as the rule of entrustment and is recognized in commercial law. It allows for efficient transactions in the marketplace by giving merchants the power to transfer ownership to a buyer who purchases goods in the regular course of business.

Entrusting Goods to a Merchant Who Deals in Goods of the Kind