Question

Lane finds a diamond ring lying in a parking lot. She notifies the police, who tell her that the ring is subject to an estray statute. Lane will therefore
a. be allowed to hold the ring as bailed property until the true owner is found.
b. be able to give good title to a buyer in due course but not to keep the ring herself.
c. acquire good title to the ring if attempts to find the true owner fail.
d. be required to turn the ring over to the state permanently, regardless of whether the true owner is located.

Answer 1

Answer:

c. acquire good title to the ring if attempts to find the true owner fail.

Explanation:

According to the business law, A Good title is a title which is valid legally.

It is also a marketable title.

A marketable title means that the good can be again sold to a reasonable purchaser

This title is free from fairly deducible of record, litigation, palpable defects and grave doubts.

It is given if there is consent of the owner or if the authorities fails to search for the owner.