Exam 11: Domestic and International Sales

Under the UCC, if a party modifies a proposed sales contract, new consideration must be provided for the change for a contract to be formed.

If a seller delivers defective good, under the UCC the buyer may not cancel the contract if the seller repairs the goods or replaces the goods in a "timely" fashion.

If a good has been stolen and is then sold to an unsuspecting buyer:

Ready Construction buys a computer system from Ace that Ace will also service. Two years after the sale, a disagreement develops. Ace has determined that the common law of contracts favors it. Article 2 favors Ready. Ready should:

Unless the parties have otherwise agreed, the buyer has a right to inspect the goods at the seller's expense before accepting or paying for them.

When a buyer agrees to purchase all the goods produced by a seller, it is called a requirements contract.

The UCC extends express warranties made to buyers to designated third parties.

Under the UCC, merchantable means that goods must be of a quality comparable to:

Under UCC Article 2, when there is a failure to respond to a writing signed by the other party:

Sales law developed in medieval Europe was known as:

Jill's ordered 1,000 boxes of white paper for use in copying machines. The Paper Company delivered 1,000 boxes of orange paper. Jill's rejected the order but had to put the boxes in storage for two weeks until Paper could get the paper and deliver the right paper. Jill's lost sales to Kingaroos while waiting for the right paper. Suing Paper, Jill's may recover:

The statutes of frauds provision of the UCC states that contracts for the sale of goods worth $500.00 or more must be "sealed."

In Orkal Industries v. Array Connector, where Orkal bought parts from Array by sending an order form, but Array confirmed with its own form that contained different terms. Orkal did not object to the different terms until litigation arose later at which point the added terms mattered. The appeals court held that under the UCC a seller cannot change material terms of an order without express permission..

Incidental damages include such things as mental distress that results from breach of contract.

Unlike express warranties, implied warranties:

The UCC's statute of frauds provision says that all service contracts must be in writing.

Consequential damages can include punitive damages due to fraud in the making of a contract.

With respect to parol evidence, the common law of contracts and Article 2 are the same.

Most states have recently adopted ____ to cover certain leases of personal property.

____ is a valid and sufficient offer of performance under a contract.