LCH has been awarded a large contract for the provision of uniforms for a large fast food restaurant chain and
therefore requires additional machinery to increase its output. LCH has found a sewing machine supplier, Sewing Solutions Limited ("Sewing Solutions") which has twelve of the sewing machines available for sale in stock in its warehouse. LCH and Sewing Solutions enter into a contract in which LCH buys six of the sewing machines from the stock in Sewing Solutions warehouse and LCH pays in full at the time of the contract. Just before the sewing machines are delivered to LCH, there is a fire at Sewing Solutions' warehouse. A number of the sewing machines are destroyed.
What does the destruction of some of the sewing machines mean for LCH and Sewing Solutions?
This means that LCH is still entitled to receive the items, since they are under contract and are paid for. The moment it... View the full answer