Under the risk of loss rules, which scenario describes a risk assignment when the seller is a non-merchant?

Under the risk of loss rules, which scenario describes a risk assignment when the seller is a non-merchant?

• A. The RoL shifts to the buyer only after title passes
• B. The buyer bears RoL as soon as the seller makes it available
• C. The seller bears RoL until delivery
• D. The carrier bears RoL until delivery

Answer: (B)

The risk of loss rules in a sale of goods split the burden based on delivery terms and whether the seller is a merchant. When the seller is not a merchant, the risk of loss passes to the buyer at the moment the seller makes the goods available to the buyer for pickup—essentially, tender of delivery. Once the goods are ready for the buyer to take possession, the buyer bears any loss that occurs after that point, even if title hasn’t passed yet. This is why the correct scenario is that the buyer bears RoL as soon as the seller makes the goods available. The other scenarios misalign with how tender works for a non-merchant: risk isn’t held by the seller until delivery, nor is it automatically with the carrier or tied strictly to title transfer.

The risk of loss rules in a sale of goods split the burden based on delivery terms and whether the seller is a merchant. When the seller is not a merchant, the risk of loss passes to the buyer at the moment the seller makes the goods available to the buyer for pickup—essentially, tender of delivery. Once the goods are ready for the buyer to take possession, the buyer bears any loss that occurs after that point, even if title hasn’t passed yet. This is why the correct scenario is that the buyer bears RoL as soon as the seller makes the goods available. The other scenarios misalign with how tender works for a non-merchant: risk isn’t held by the seller until delivery, nor is it automatically with the carrier or tied strictly to title transfer.