An agent is typically either an employee of the principal or an independent contractor. Very important legal consequences hinge on this distinction. The primary distinction between an employee and an...

Extracted text: An agent is typically either an employee of the principal or an independent contractor. Very important legal consequences hinge on this distinction. The primary distinction between an employee and an independent contractor is B) The official title of the agent. A) The degree of control retained or exercised by the principal over the agent. D) Whether the principal and the agent have a fiduciary relationship. OC) The nature of the contract between the principal and the agent. On May 17, Debtor Co. borrowed $100,000 from Secured Bank to finance its current and future inventory. On May 19, Debtor authenticated a security agreement giving Bank a security interest in the inventory. On the same date, Debtor also authenticated a financing statement. Bank filed the financing statement on May 21 and the security agreement on May 22. Bank's security interest was perfected on O A) May 17. O D) May 22. C) May 21. B) May 19.


Extracted text: Bass, an automobile dealer, had an inventory of 40 cars and 10 trucks. He financed the purchase of this inventory with County Bank under an agreement dated January 5 that gave the bank a security interest in all vehicles on Bass's premises, all future- acquired vehicles, and the proceeds from their sale. Bass received possession of the inventory on the same date. On January 10, County Bank properly filed a financing statement that identified the collateral in the same way that it was identified in the agreement. On April 1, Bass sold a passenger car to Dodd for family use and a truck to Diamond Company for its hardware business. Which of the following is true? A) The security agreement may not provide for a security interest in after- acquired property even if the parties so agree. D) The security interest of County Bank does not include the proceeds from the sale of the truck to Diamond Company. O B) County Bank's security interest is perfected as of January 10. C) The passenger car sold by Bass to Dodd continues to be subject to the security interest of County Bank.