Exam 11: Domestic and International Sales

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. Ace should:

In Lee v. R&K Marine, where Lee bought a new boat from R&K that fell apart in three years, the court held the seller had properly disclaimed all warranties, so was not liable for the problem.

Northwest is a micro-brewery. It orders bottles from M that must have crests inscribed on the bottles. To be sure the bottles meet specifications, Northwest hires someone to check them as they were produced at M. With respect to the expenses of hiring the inspector:

The buyer's damage provisions under the UCC are designed:

The UCC allows the buyer of goods that are not delivered to cancel the contract and buy from another supplier.

Under the UCC Article 2, a "reasonable time" for delivery of a good is determined by:

When the seller has delivered conforming goods, the buyer has a duty to accept them. This is referred to as:

Bill's Beer is brewed in Arkansas. The brewery was sold to another company which stopped payment on a contract with Yakima Hops (Bill's hops supplier). Hops had just shipped a large quantity of hops to Bill's. In response to the new owner's action, Hops may:

The UCC does not apply to the sale of investment securities.

Which of the following is a contract most likely to fall under UCC Article 2:

When terms in contracts conflict, it is called:

The buyer's damage provisions under the UCC are designed:

In meeting her obligation under the UCC, the seller must be concerned about the appropriate manner and timeliness of delivery, the place of tender, and the quality of tender.

Under Article 2, if the legal title to a good does not pass, there has not been a sale under the UCC.

If the sale of a good also includes a service contract, it will not fall under Article 2.

An item is movable if:

In Paramount Contracting Co. v. DPS Industries, DPS claimed there was a contract to deliver hundreds of truckloads of dirt for Paramount, which claimed no contract had come into existence. The courts held that:

If the sale of a good involves services that are of greater value than the goods themselves, the contract falls under the common law, not Article 2.

Northwest is a micro-brewery. It orders bottles from M that must have crests inscribed on the bottles. To be sure the bottles meet specifications, Northwest hires someone to check them as they were produced at M. With respect to the expenses of hiring the inspector:

If a contract for the sale of goods does not specify where goods are to be delivered, the UCC presumes that in most cases: