Question

A title for goods obtained by a seller through fraud, impersonation, or a dishonored check is referred to as a(n. ________.

Answer 1

Answer:

voidable title

Explanation:

A voidable title is considered good and valid title until voided.  

For example, I purchase a PS4 from my nephew who is a minor and I sell it to my neighbor, and my neighbor purchased it on good faith. My nephew can decide to void the contract because he was a minor, but since I passed good title to my neighbor while the contract was valid, my neighbor doesn't have to return the PS4.

The difference with a void title is that a void title was never good and valid.

On the other hand, if I had stolen the PS4, I would never have good title over it, and I sell it to my neighbor. The rightful owner of the PS4 can claim it back and my neighbor must return it because the contract was void since I never had good title on the PS4.