Muganga Shipping acquires the MV Karaboudjan for the use of Gibbons Trading. Chen-Yee Steelworks contact Gibbons Trading as they want to use the MV Karaboudjan to transport a full load of iron ore from Port Hedland to Qingdao. Chen- Yee Steelworks is not sure they will actually need to iron ore and as such, they want to make sure that they can sell it while it is on route to China and allow the purchaser to acquire it and take possession of the iron ore when the MV Karaboudjan arrives in Qingdao.
 What kind of contract would suit Gibbons Trading and Chen-Yee Steelworks? Why?
 How can Chen-Yee Steelworks and Gibbons Trading ensure that Chen- Yee Steelworks is able to transfer title to the iron ore during the voyage? Why?

Answer rating: 100% (QA)

The kind of contract that would suit Gibbons Trading and ChenYee Steelworks in this situation is a Sale of Goods contract with a shipment contract cla... View the full answer