In the following statements, which one is incorrect when the sale is made by an auctioneer of goods and…
To pass good title under the mercantile-agent exception (proviso to section 27), the sale must be made by the person acting in the ordinary course of business as a…
Choose your answer
In the following statements, which one is incorrect when the sale is made by an auctioneer of goods and the issue is to pass a good title to the buyer?
Answer and explanation
Correct answer B
To pass good title under the mercantile-agent exception (proviso to section 27), the sale must be made by the person acting in the ordinary course of business as a mercantile agent, not as though he were the owner of the goods, so the incorrect statement is "The sale is made by him when acting in the ordinary course as an owner of the goods."
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