Problem
Indiana enacted the Vapor Pens and E-Liquid Act to regulate the manufacture and distribution of e-cigarettes. The act was based on the state's interest in public health and safety. Requirements included childproof packaging and labels designating active ingredients, nicotine content, and expiration dates. The act covered in-state and out-of-state production and sales. Legato Vapors, LLC, an out-of-state maker of e-liquid products, filed a lawsuit in a federal district court against David Cook, head of the Indiana Alcohol and Tobacco Commission, seeking an injunction. Legato argued that the state's act violated the U.S. Constitution, which prohibits the application of a state statute to commerce that takes places completely outside of the state. Specifically, Legato noted that direct online sales by out-of-state manufacturers to Indiana consumers could not be regulated by the state act.
A. Under the UCC, when does the title to goods pass from the seller to the buyer? Does this UCC provision support Legato's argument for an injunction of the state act?
B. In the first paragraph of your post, explain why the UCC provision supports Legato's argument for an injunction.
C. In the second paragraph of your post, explain why the UCC provision does not support Legato's argument.
D. In your third paragraph, state whom you believe should win this case and explain your decision.