Question

On Monday, Gullible George is induced to sell a computer to Fraudulent Freddy on the basis of Freddy's misrepresentation that he is Wealthy Walter. That same day, Freddy resells the computer to Innocent Ivan, a good faith purchaser for value. On Tuesday, Gullible George sells an electronic typewriter to Dishonest David who pays for the goods with a check that is later dishonored by the payor (drawee) bank. Before the check is dishonored, David sells the typewriter to Innocent Irene, a good faith purchaser for value. On the basis of these facts,

A. George is entitled to recover the typewriter from Irene, but he is not entitled to recover the computer from Ivan.
B. George is entitled to recover the computer from Ivan, but he is not entitled to recover the typewriter from Irene.
C. George is entitled to recover the computer from Ivan and the typewriter from Irene.
D. George's best remedy is to recover the value of the goods from Freddy and David in a tort action for deceit.

Answer 1

George is entitled to recover the computer from Ivan and the typewriter from Irene.

Step-by-step explanation:

Based on the given facts, George is entitled to recover the computer from Ivan, and he is also entitled to recover the typewriter from Irene. In this scenario, both Ivan and Irene are considered good faith purchasers for value, meaning they bought the items without knowledge of the fraudulent misrepresentation or the dishonored check. However, George still has the right to reclaim the goods from them since he is the true owner who was deceived in the transactions.