Overview

Parties to a sales contract will usually agree on the obvious details of a sales transaction—the nature of goods, the price, and the delivery time. But there are two other issues of importance lurking in the background of every sale:

1. When does the title pass to the buyer?

2. If goods are damaged or destroyed, who must bear the loss?

Under UCC’s predecessors, the Uniform Sales Act and the common law, risk of loss passed to a buyer of goods when title passed to the buyer. Title rules, however, were based on some rather fragile principles and were fairly arcane. The drafters understood that risk of loss was, by far, the most important title-related issue facing sellers and buyers of goods and therefore chose to separate the concepts.

Learning objectives

This week, our activities, content, and assignments will help you do the following:

Identify when title (ownership) to the good passed from the seller to the buyer
Identify when risk of loss (ROL) to the goods passed from the seller to the buyer
Explain why the passage of title and ROL is important

Weekly plan

Here's everything you need to do and remember for the week. These items will all appear, in order, in the Module for this week.

Read the assigned texts and work through any other required resources
Post questions for the Live Session by Monday at 11:59 pm (Central)
Submit the homework (including the Connect worksheet) on Canvas by Monday at 11:59 pm (Central)
Join the Live Session, Tuesday at 7:00 pm (Central), or submit the make-up activity before the next Live Session