Hal was a merchant who deposited 2,000 barrels of olive oil in a public warehouse
operated by Welcome Warehouse. Hal was issued a warehouse receipt for the 2,000
barrels that by its terms was deliverable “to bearer.” Hal had engaged in many other
transactions with Welcome and was in arrears for quite a bit of money to Welcome. Hal
duly negotiated the warehouse receipt to Esmeralda Enterprises in payment of cash.
Hal’s financial affairs continued to deteriorate and Welcome never was paid the debt.
When Esmeralda’s agent requested the oil and offered to remit the warehouse receipt,
Welcome refused to release the oil, claiming a lien on the oil for Hal’s debt. Esmeralda
sued. Decide the case.
Officers and directors are not personally responsible for crimes they have committed
when it can be demonstrated that in carrying out such crimes, they acted on behalf of
the corporation.
When a person rents space in a locker or building under an agreement that gives the
renter the exclusive right to use that space, the placing of goods by the renter in that
space creates a bailment.
Standby letters of credit are used only in international trade situations.
Parties with rights in a negotiable instrument can be assignees or holders.
The requirements to create a trust are uniform.
Joint tenancy and tenancy in common both feature the right of survivorship.