Lampson sold Stark a large recreational vehicle for $52,000. However, Lampson forgot to cancel the insurance he held on the vehicle. One month after Stark bought the recreational vehicle, it was totally destroyed by fire. Shocked by the occurrence, Lampson then remembered the policy and immediately filed a claim for the loss of the recreational vehicle with his insurance company.
Will he be able to collect? Explain.
No, because it is not in his possession anymore, and he had already sold it. Therefore his claim would be fraudulent.
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