Question

Here is the fact pattern I want you to base your answer on:

• You want the latest in mini laptop computers.

• You find what you need by searching on the Internet.

• The seller is in Taiwan.

• You negotiate a deal with the seller over the Internet and buy the computer.

• The seller agrees to ship you the computer by boat.

Answer this Question: (minimum 200 words; any format)

What terms (words) would you insist be included in the Sales Contract so you would not bear the Risk of Loss?

Explain in detail why you use specific words and terms (i.e. compare and contrast).

Answer 1

I wanted to purchase a mini laptop computers for which i searched internet and found an taiwan seller for that. now i would negotiate the deal in which we both agree and seller agree to ship the computer via boat. now i want to put some points in my sales contract which would protect me risk of loss because seller is shipping the computer via ship which is more vulnerable to damages because on ship there are many items to be shipped which could be in one place and any kind of mishap can damage my computer.

so in my sales contract i would like add a clause which is destination clause or FOB destination clause in which i would not be liable for the damages until the item is received at my dock or to me.if any damage occurs while in shipment then seller will be responsible for the damages not me.

I use this specific clause because there are two types of clause one is destination clause and second is shipment clause and if we compare them then Destination contracts specify the buyer's destination as the point where seller's obligation to deliver is complete. At that point, all risk of loss passes to the buyer. Alternatively, under a shipment contract, the seller's obligation is complete when he passes the goods to the common carrier for delivery.