Title

Introduction

Read the overview below and complete the activities that follow.

Before beginning this interactive, you should review LO $15-6$ in your text. Pay particularly close attention to the differences among the three types of titles that can arise when a buyer purchases goods: good titles, void titles, and voidable titles.

CONCEPT REVIEW:

Neither businesses nor individuals can own or sell goods unless you have good title to them. The Uniform Commercial Code $($UCC$)$ defines a sale as the passing of title from the seller to the buyer for a price.

Mini$-$Case:

Read the scenario below and answer the following questions relating to the sale of a title.

Hugo, a $21-$year$-$old man, is birthday shopping for his mother over the online classifieds. While browsing the Internet for sale ads, he notices a particularly good deal on a $14-$carat gold necklace with matching $1/3-$carat diamond earrings. The seller says the jewelry is brand new, still in the box, and wants only $$359$ for the entire set. Hugo immediately e$-$mails the seller and arranges for the purchase of the jewelry. Hugo pays the seller, receives the necklace and earrings, and intends to give them to his mother for her birthday.

low does the UCC define a sale?