Business Law - Chapter 14 terms

Good Faith purchaser

- a buyer with voidable title resulting from a sale induced by fraud may transfer valid title to a good faith purchaser

Auction

- a public sale to the highest bidder

COD

collect on delivery- The carrier collects the price and transportation charges upon delivery and transmits this amount to the seller

Identified goods

- existing goods that have been designated specifically as the subject matter of a particular sales contract

Tender of delivery

- that the seller places the proper goods at the buyer's disposal and notifies the buyers so that delivery can be received

Bulk Transfer

- the transfer, generally by sale, of all or a major part of the goods of a business in one unit at one time

Sale or return

a completed sale in which the buyer has an option of returning the goods Sales on approval- on satisfaction

FOB

free on board shipment- the seller agrees to deliver the goods no further than the carrier's freight station, buyer pays the transportation charge first then the buyer pays the charges in the second

Future goods

goods that is not yet existing and identified

Sales on approval

on satisfaction

Existing goods

physically in existence and owned by the seller

Sale of an undivided interest

selling a fractional interest in a single good or in number of goods that are to remain together

Credit sale

simply a sale that, by agreement of the parties, calls for payment for the goods at a later date

CIF

the seller contracts for adequate insurance and for proper shipment to the named destination and then adds these items to the price or cost of the goods