Questions from Business Law

Q: Dupont Feed bought and sold agricultural products. Dupont borrowed $300

Dupont Feed bought and sold agricultural products. Dupont borrowed $300,000 from Wells Fargo Bank and gave Wells Fargo a security interest in all inventory, including after-acquired inventory. Wells F...

Q: Eugene Ables ran an excavation company. He borrowed $500,

Eugene Ables ran an excavation company. He borrowed $500,000 from the Highland Park State Bank. Ables signed a note promising to repay the money and an agreement giving Highland a security interest in...

Q: Collateral may change categories depending on its holder and how it is

Collateral may change categories depending on its holder and how it is being used at the time of default. Classify a refrigerator in the following circumstances: (a) When sold by an appliance store; (...

Q: After a federal judge refused to dismiss criminal charges against him,

After a federal judge refused to dismiss criminal charges against him, Michael Reed took revenge by electronically filing a UCC financing statement listing the judge, the prosecuting attorney, and for...

Q: The Dannemans bought a Kodak copier worth over $40,000

The Dannemans bought a Kodak copier worth over $40,000. Kodak arranged financing by GECC and assigned its rights to that company. Although the Dannemans thought they had purchased the copier on credit...

Q: The Aviation Security Improvement Act (ASIA) states that the FAA

The Aviation Security Improvement Act (ASIA) states that the FAA can refuse to divulge information about airport security. The FAA interprets this to mean that it can withhold data in spite of the FO...

Q: Duncan Properties, Inc. agrees to buy a car from Shifty

Duncan Properties, Inc. agrees to buy a car from Shifty for $25,000. The company issues a promissory note in payment. The car that Duncan bought is defective. If Shifty still has the note, does Duncan...

Q: Shifty sells that note to Honest Abe for $22,000

Shifty sells that note to Honest Abe for $22,000. Does Duncan have to pay Abe?

Q: Abe gives the note to his daughter, Prudence, for her

Abe gives the note to his daughter, Prudence, for her birthday. Is Prudence a holder in due course? Does Duncan have to pay Prudence?

Q: Tom was CEO of a company. He stole money from the

Tom was CEO of a company. He stole money from the company by writing a series of checks made out to “Cash” which he deposited in his own personal account at Bank. (Please do not try this at home.) Of...