§ 25-2-509. Risk of loss in the absence of breach.
§ 25‑2‑509. Riskof loss in the absence of breach.
(1) Where the contractrequires or authorizes the seller to ship the goods by carrier
(a) if it does notrequire him to deliver them at a particular destination, the risk of losspasses to the buyer when the goods are duly delivered to the carrier eventhough the shipment is under reservation (G.S. 25‑2‑505); but
(b) if it does requirehim to deliver them at a particular destination and the goods are there dulytendered while in the possession of the carrier, the risk of loss passes to thebuyer when the goods are there duly so tendered as to enable the buyer to takedelivery.
(2) Where the goods areheld by a bailee to be delivered without being moved, the risk of loss passesto the buyer
(a) on his receipt ofpossession or control of a negotiable document of title covering the goods; or
(b) on acknowledgment bythe bailee of the buyer's right to possession of the goods; or
(c) after his receipt ofpossession or control of a nonnegotiable document of title or other directionto deliver in a record, as provided in subsection (4)(b) of G.S. 25‑2‑503.
(3) In any case notwithin subsection (1) or (2), the risk of loss passes to the buyer on hisreceipt of the goods if the seller is a merchant; otherwise the risk passes tothe buyer on tender of delivery.
(4) The provisions ofthis section are subject to contrary agreement of the parties and to theprovisions of this article on sale on approval (G.S. 25‑2‑327) andon effect of breach on risk of loss (G.S. 25‑2‑510). (1965, c. 700, s. 1; 2006‑112,s. 35.)