The Willett Seed Company stored its goods with the Augusta ...

[NguyenJ]

The Willett Seed Company stored its goods with the Augusta Warehouse Company and received a negotiable warehouse receipt. The Willett Seed Company then borrowed money from the Georgia Railroad Bank and pledged the warehouse receipt as security. The seed company defaulted, and the bank demanded the goods from the warehouse. The warehouse stated that it already had delivered the goods to the seed company on the strength of that company's promise that it would surrender the receipt shortly thereafter. The bank sued the warehouse for the value of the goods. Will the bank win?

Question 2

An executor need only sign his name to the deed to transfer title.
  Indicate whether the statement is true or false

[cloudre37]

Answer to Question 1

Yes, judgment will be for the bank. When a negotiable warehouse receipt is issued for goods, the warehouser is liable to the holder of the receipt if the warehouser delivers the goods to anyone else. The bank, as pledgee, was the holder of the receipt, and it could demand the goods and sue for failure to deliver them.

Answer to Question 2

FALSE

[NguyenJ]

Gracias!

[jackie]

Thanks for the timely response, appreciate it