Paragon Paint Co sold 100 gallons of paint on credit to Williams Hardware. Two days after giving the paint to Northern Trucking for delivery to Williams, Paragon discovered that Williams had filed for bankruptcy. What action should Paragon take?


Paragon should notify Northern Trucking not to deliver the goods (stoppage in transit). If the goods have already been delivered, Paragon can demand their return if it does so within ten days.

Business

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