Exam 22: Performance

Parker agrees to sell to Thompson 500 bushels of soybeans at $6 per bushel. Without the fault of Parker or Thompson, 200 bushels are destroyed. Thompson must take the remaining 300 bushels and pay Parker $1,800.

Everett is an accountant for a major accounting firm. One day at work, he is discussing his collection of rare coins with one of his co-workers. Everett tells his co-worker that he keeps his collection at home and that he has recently purchased several Chinese gold Panda coins at an exceptional price. The co-worker expresses an interest in buying two of the coins at a price of $250, and a contract is duly formed. If no place for delivery is expressed, where are the coins to be delivered?

Watkins Manufacturing has furniture, some of which it has sold to Home Interiors, stored in Central Warehouse. It is to be delivered without being moved. In order to fulfill its obligations to tender delivery, Watkins may either tender to Home Interiors a document of title or obtain an acknowledgment by the warehouse of Home Interiors' right to possess the furniture.

Revocation following an acceptance of the goods gives the buyer fewer rights than he would have had if he had at first rejected the goods.

The Code does not excuse performance based upon commercial impracticability.

If destruction or casualty to goods, total or partial, occurs after risk of loss has passed to the buyer, who is responsible for losses?

The seller's tender of performance does not have to conform to the Code's perfect tender rule.

If the goods or the tender of delivery fail in any respect to conform to the contract, the buyer may:

In the absence of agreement, payment is due at the time and place the buyer is to receive the goods, even though the place of shipment is the place of delivery.

A merchant buyer who has rightfully rejected goods must follow reasonable instructions from the seller regarding disposition of the goods if the seller has no agent at the place of rejection.

Rightful rejection must be made within a reasonable time after the goods have been tendered or delivered.

Unless otherwise agreed, the buyer has the right to inspect the goods before making payment.

Amanco is to deliver to D & R Wholesalers 50 dozen wire-rim glasses frames by October 15. On October 2, Amanco delivers 30 dozen wire-rim frames and 20 dozen plastic frames. If D & R rejects the frames:

The Elm Street Accounting Partnership has ordered two maroon office chairs for its waiting room from the Quality Office Supply Company. Quality sends two burgundy-red office chairs that the Elm Street partnership rejects. What, if any, rights does Quality have under the circumstances? Explain.

In a contract that provides that the sale is F.O.B. Chicago, the seller must at his own expense and risk transport the goods to Chicago and there tender delivery to the buyer.

Acceptance of any part of a commercial unit is acceptance of the entire unit.

Willingness by the buyer to become the owner of the goods tendered or delivered to him by the seller is:

A merchant buyer of goods receives nonconforming goods. The merchant buyer rightfully rejects and appropriately notifies the seller, but the seller has no agent in the buyer's city. The goods are perishable and threaten to decline in value speedily. The merchant buyer has no further duty to the seller other than to await the seller's instructions.

Sam agrees to sell Bill one 18-cubic-foot, yellow refrigerator for $700. It is to be delivered to Bill's home on July 7. Under the perfect tender rule, which one of the following cases would be a rightful rejection of the goods?

Under the , a buyer may reject goods for even the slightest defect.