Person W purchased a list of household items on credit from company WT. Company WT retained the rights to repossess an item in the case of default of an instalment and every instalment would be prorated to all the items such that unpaid balance would remain on all items until the last instalment is paid in full. Person W defaulted on a single payment and company WT sought to repossess the items purchased by person W. To discuss: If company WT is right to repossess all the items.

Question

Want to see the full answer?

Answer 1

Question

Chapter 13, Problem 21CP

Summary Introduction

Case summary:

Person W purchased a list of household items on credit from company WT. Company WT retained the rights to repossess an item in the case of default of an instalment and every instalment would be prorated to all the items such that unpaid balance would remain on all items until the last instalment is paid in full. Person W defaulted on a single payment and company WT sought to repossess the items purchased by person W.

To discuss: If company WT is right to repossess all the items.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Columbia University brought suit against Jacobsen on two notes signed by him and his parents. The notes represented the balance of tuition he owed the University. Jacobsen counterclaimed for money damages due to Columbia’s deceit or fraudulent misrepresentation. Jacobsen argues that Columbia fraudulently misrepresented that it would teach wisdom, truth, character, enlightenment, and similar virtues and qualities. He specifically cites as support the Columbia motto: “in lumine tuo videbimus lumen” (“In your light we shall see light”); the inscription over the college chapel: “Wisdom dwelleth in the heart of him that hath understanding”; and various excerpts from its brochures, catalogues, and a convocation address made by the University’s president. Jacobsen, a senior who was not graduated because of poor scholastic standing, claims that the University’s failure to meet its promises made through these quotations constituted fraudulent misrepresentation or deceit. Decision?

Johnson, who owned a hardware store, was indebted to Hutchinson, one of her suppliers. Johnson sold her business to Lockhart, one of Johnson’s previous competitors, who combined the inventory from Johnson’s store with his own and moved them to a new, larger store. Hutchinson claims that Lockhart must pay Johnson’s debt because the sale of the business had been made without complying with the requirements of the bulk sales law. Discuss whether Lockhart is obligated to pay Hutchison’s debt to Johnson.

Current City (CC) is a retail seller of television sets. CC sells Dhani a $3,000 large-screen, high-definition, LED set on a retail installment security agreement in which he pays $100 down and agrees to pay the balance in equal installments. CC retains a security interest in the set, and perfects that interest by filing a financing statement centrally. Two months later, Dhani is in default on the payments to CC and is involuntarily petitioned into bankruptcy by other creditors. Discuss CC’s right to repossess the TV set. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.