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Between big corporation and sun corporation

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Reference no: EM132350057

Big Corporation of Rainbow Falls, Iowa, manufacturers industrial generators used in large buildings. Sun Corporation of Phoenix, Arizona, purchases three generators from Big Corp.

Big Corporation ships the three generators by truck to Sun Corp. Long Haul Trucking Company contracts with Big Corporation to deliver the generators to Sun Corporation.

The generators are shipped to Sun Corporation F.O.B. Rainbow Falls, Iowa. Big Corporation notifies Sun Corporation the generators were placed with a carrier and are on their way to Arizona.

On the way to Phoenix, one of the rigs carrying a large generator goes off the road during a heavy snow storm and the generator is ruined. The trucker claims she hit a patch of black ice and that caused her to lose control of the rig. The cost of one generator is $345,000.

Between Big Corporation and Sun Corporation who had the risk of loss for this destroyed generator?

Reference no: EM132350057

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