Exam 20: Performance

Speedy Stop sells necessities to neighborhood shoppers until 1 a.m.every day.Dairyland delivered its order of milk products as usual around 6 a.m.while Mary, the shopkeeper, was busy with the early coffee and donut crowd.The Dairyland driver left 12 crates in the refrigerator compartment and went on to the rest of his route.At 7:30 a.m., Mary started to shelve the milk products and discovered that all 12 crates contained buttermilk rather than the usual mix of containers of whole milk, 2%, skim milk, and cream she had ordered.What is her obligation with regard to the goods?

A buyer in a contract for the sale of goods:

In most sales, the buyer has the right to inspect the goods before he pays.

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 an agreed price, 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:

Tender can be made any time of the day or night whenever the seller is able to deliver the goods.

A buyer in Atlanta enters into a sales contract with a seller in Chicago.If the contract does not mention the place for delivery of the goods, the place of delivery will be:

An anticipatory repudiation may occur only by express communication to the other party to the contract.

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

If a contract contains the term "no arrival, no sale," title and risk of loss do not pass to the buyer until the seller makes a tender of the goods after they arrive at their destination.

The delivery terms "ex-ship" and "no arrival, no sale" indicate that the contract is a shipment contract.

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

Tender of delivery requires:

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

Which of the following is correct with respect to the Code's approach to impossibility of performance?

Under the CISG, a party may suspend performance of his obligations if, after the conclusion of the contract, it becomes apparent that the other party will not perform a substantial part of his obligations.

The court in Moulton Cavity & Mold Inc.v.Lyn-Flex Ind.held that:

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.

When is a buyer deemed to have accepted goods that are delivered pursuant to a contract?