A buyer in ordinary course of business of fungible goods sold and delivered by a warehouse that is also in the business of buying and selling such goods takes the goods free of any claim under a warehouse receipt even if the receipt is negotiable and has been duly negotiated.
Structure Delaware Code
Part 2. Warehouse Receipts: Special Provisions
§ 7-201. Person that may issue a warehouse receipt; storage under bond.
§ 7-202. Form of warehouse receipt; effect of omission.
§ 7-203. Liability for nonreceipt or misdescription.
§ 7-204. Duty of care; contractual limitation of warehouse's liability.
§ 7-205. Title under warehouse receipt defeated in certain cases.
§ 7-206. Termination of storage at warehouse's option.
§ 7-207. Goods must be kept separate; fungible goods.