Garden World orders 120 hand cultivators from Green Thumb, Inc When the cultivators arrive, they seem fine, so Garden World accepts them. As the stock person is putting the cultivators on display, she notices that the tines are loose on all the

cultivators. Garden World returns the cultivators to Green Thumb, but they are lost when the delivery truck slips on an oily spot in the road and drives into a nearby lake. Discuss who bears the risk of loss for the shipment.


When a buyer accepts goods but then rightfully revokes acceptance, the risk remains with the seller to the extent the buyer's insurance will not cover the loss. If Garden World's insurance does not cover the loss, Green Thumb must bear the loss.

Business

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