Exam 20: Performance

Vernon 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.Vernon 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?

The perfect tender rule requires that the seller's tender of performance must conform exactly to the contract subject to:

Allister contracts to the sell and deliver to Chan 300 rolls of bubble wrap.Unless the parties agree otherwise, Allister must tender all 300 rolls in a single delivery, and Chan's payment is due at the time of the tender.

Increased production costs will allow the seller to avoid a contract based upon commercial impracticability.

The Code does not excuse performance based upon commercial impracticability.

In an installment contract, if the contract is silent about payment, the Code provides that the seller may demand the price, if it can be apportioned, for each lot.

Bill orders a custom-made suit from Rooks to be delivered by Friday at 5 p.m.When the suit is delivered to his office on Friday afternoon, he is in conference with a client.He accepts delivery and hangs the suit in his closet.When Bill tries on the suit Saturday evening, he discovers that the pants are cuffed.He had ordered cuffless trousers.What can he do?

Revocation of acceptance requires notice to the seller, whereas rejection does not.

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

If Mary allows the seller, Sellmart Co., four weeks to repair the defects in her kitchen set and they have tried but have not done a good job at it, she may revoke her acceptance if she:

Whitaker has reasonable grounds for believing Crosslin will not perform his obligations under their contract.Discuss what Whitaker might do if their contract is governed by: (a) the UCC and (b) the CISG.

Where goods are in the possession of a bailee and are to be delivered without being moved, in most instances the seller may either tender to the buyer a document of title or obtain an acknowledgment by the bailee of the buyer's right to possess the goods.

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.

After passage of a week, the buyer of six crates of strawberries will be deemed to have accepted the goods.

The CISG:

Tender can be made any time of the day or night, when it is most convenient for the seller to deliver the goods.

Revocation of acceptance must be done as soon as the buyer discovers the grounds for the revocation.

Which of the following terms would indicate a destination contract?

Ryan is interested in purchasing two dozen L.E.D.signs from Superior Sign Co.If the signs are damaged:

Revocation of acceptance is effective without notice to the seller.