Shipped for delivery and damaged

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Reference no: EM131010130

Case summary:

F entered into a bond to purchase specific quantity of apple from H for an agreed price. H accepted to deliver the product in the mentioned location. The apples were shipped for delivery and damaged before it reaches the place mentioned in the contract.

Destination contract:

A business understanding which forces the seller to deliver and bear the expenses of delivery of goods in the mentioned destination is termed as destination contract. The buyer holds the title of ownership only after the delivery of goods in the mentioned destination.

Justification:

In the above mentioned case, H accepted to deliver the apples in the specific location and F agreed to pay only if the goods are delivered in the location. H is responsible for the transit of goods and the other related expenses. Only if the goods are delivered in the destination mentioned F gets the title. Therefore, H should accept the loss incurred due to damage of goods.

Reference no: EM131010130

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