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On June 1, a seller agreed to sell an antique car to a buyer for $20,000, in a writing signed by both the seller and the buyer. At the time, the car was on display in a museum in a different city and was to be delivered to the buyer on August 1. On July 15, before the risk of loss had passed to the buyer, the car was destroyed by fire without fault of either party. Subsequent to the contract but before the fire, the car had increased in value to $30,000. The seller sued the buyer for the contract price of $20,000, and the buyer counterclaimed for $30,000.
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B is incorrect. Because the goods were identified at the time of the sale, and because the car was destroyed without any fault by either party, the seller cannot prevail over the buyer.
C is incorrect. As explained above, the buyer will also not prevail because the car was identified at the time of the contract's formation and was destroyed without fault on either party.
D is incorrect. Both the seller and the buyer cannot prevail, because the contract is void due to the destruction of the identified good.