Sale: Loss & Deterioration, Fruits & Accessions
CHAPTER 9 LOSS & DETERIORATION, FRUITS & ACCESSIONS BEFORE PERFECTION AT THE TIME OF PERFECTION AFTER PERFECTION BUT BEFORE DELIVERY Loss of the Subject Matter Deterioration, Fruits, and Improvements AFTER DELIVERY STRUCTURING A CLEARER DOCTRINE ON LOSS, DETERIORATION, FRUITS, AND IMPROVEMENTS Stages of a Contract of Sale Perfection - The contract is concluded upon agreement on the object and price. Delivery - Ownership is transferred from the seller to the buyer. Performance - Both parties fulfill their respective obligations (delivery and payment). Principle of Res Perit Domino The owner bears the risk of loss . Before delivery , the seller bears the risk. After delivery , the buyer assumes the risk. I. BEFORE PERFECTION Ownership and Risk Prior to the perfection of a sale, the purported seller retains ownership of the subject matter . Any loss, deterioration, fruits, or improvements remain with the seller. No legal or equitable relationship exists between the purported...