Asked by Frederick Schneider on Jun 13, 2024

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Farmer Brown brings his crop of wheat to the local grain elevator where it is stored along with the grain of several other farmers. A few months later, the grain elevator declares bankruptcy. Who owns the grain? Can Farmer Brown get his grain back? Explain.

Grain Elevator

A facility equipped to receive, store, and often ship grain.

Bankruptcy

is a legal process through which individuals or businesses unable to pay their debts can seek relief from some or all of their financial obligations.

Crop of Wheat

The yield or harvest of wheat plants produced in a particular season or area, significant for food production and agricultural trade.

  • Understand the treatment of commingled goods and the rights of original owners in the event of a bankruptcy.
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CJ
chealsey jonesJun 20, 2024
Final Answer :
All of the farmers own the grain by confusion. Confusion arises when identical goods are so mixed that the owners cannot identify their own property. If the goods can be apportioned, each owner who can prove his proportion of the whole is entitled to receive his share. If the confusion results from the willful and wrongful act of one of the parties, he will lose his entire interest if unable to prove his share. If there is not enough to distribute a full share to each owner and the confusion was due to mistake, accident, or agreement, each owner will bear the loss in proportion to his share.