Question 1

Revocation of acceptance is effective without notice to the seller.

Accepted Answer

A) True 
 B)False

Question 2

Rejection is ineffective unless the buyer notifies the seller.

Accepted Answer

A) True 
 B)False

Question 3

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

Accepted Answer

A) True 
 B)False

Question 4

On April 18, Marco bought a sailboat from a local marina. The boat was defective and did not turn about properly. Marco used the boat extensively all summer and the boat was no longer in the same condition as when it was bought. By September 30, Marco had waived his right to revoke acceptance.

Accepted Answer

A) True 
 B)False

Question 5

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

Accepted Answer

A) True 
 B)False

Question 6

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.

Accepted Answer

The answer of Whitaker has reasonable grounds for believing Crosslin...

Question 7

In a sale of goods, the seller's tender of performance does not have to conform to the Code's perfect tender rule.

Accepted Answer

A) True 
 B)False

Question 8

Seller, through no fault of its own, is unable to deliver the goods to buyer because the agreed type of carrier is unavailable. Explain what the Code requires.

Accepted Answer

The answer of Seller, through no fault of its own,...

Question 9

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

Accepted Answer

A)  reject the whole. 
B)  accept the whole. 
C)  accept any unit(s) and reject the rest. 
D)  Any of these.

Question 10

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.

Accepted Answer

A) True 
 B)False

Question 11

In which of the following situations does the seller have the right to cure?

Accepted Answer

A)  Where the time for performance under the contract has not yet expired. 
B)  After the time for performance has expired if the seller had reasonable grounds for believing the buyer would accept a nonconforming tender with or without monetary adjustment. 
C)  Where the buyer has revoked acceptance. 
D)  Two of these are correct but not all three.

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

Tender of delivery requires:

Accepted Answer

A)  only that the seller put and hold goods that conform to the contract at the buyer's disposition. 
B)  that the goods be made available to the buyer for at least one week if they are not perishable. 
C)  that the seller give the buyer reasonable notice of the tender. 
D)  that tender occur during the buyer's normal business hours.

Question 14

A buyer who sells rejected goods on behalf of the seller is entitled to reasonable expenses and a reasonable selling commission not to exceed ten percent of the gross proceeds.

Accepted Answer

A) True 
 B)False

Question 15

In the case of partial destruction of identified goods before risk of loss passes to the buyer, the buyer has the option to avoid the contract or to accept the goods with due allowance from the contract price for the deterioration or deficiency.

Accepted Answer

A) True 
 B)False

Question 16

Payment of a C.O.D. shipment constitutes an acceptance of the goods.

Accepted Answer

A) True 
 B)False

Question 17

If an anticipatory repudiation substantially impairs the value of the contract, the aggrieved party may:

Accepted Answer

A)  await performance for a commercially reasonable time. 
B)  resort to any appropriate remedy for breach. 
C)  Both are correct. 
D)  None of these.

Question 18

a. Distinguish between a rejection of goods and a revocation of acceptance of goods. 
b. What is the effect of a rejection? What is the effect of a revocation? 
c. Does the buyer have any obligations to the seller once she has rejected the goods?

Accepted Answer

The answer of a. Distinguish between a rejection of goods...

Question 19

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

Accepted Answer

A) True 
 B)False

Question 20

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

Accepted Answer

A)  and destroyed before Ryan's offer to buy them is accepted, Superior must create new signs to replace the ones Ryan wanted. 
B)  after the contract of sale is formed and after the risk of loss passed to Ryan, then Ryan has no option but must pay the entire contract price of the signs. 
C)  without fault of either party before the risk of loss passes to Ryan and the goods were identified when the contract was made, the contract is avoided whether the signs are totally or partially destroyed. 
D)  All of these.

Exam 20: Performance

Revocation of acceptance is effective without notice to the seller.

Rejection is ineffective unless the buyer notifies the seller.

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

On April 18, Marco bought a sailboat from a local marina. The boat was defective and did not turn about properly. Marco used the boat extensively all summer and the boat was no longer in the same condition as when it was bought. By September 30, Marco had waived his right to revoke acceptance.

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

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.

In a sale of goods, the seller's tender of performance does not have to conform to the Code's perfect tender rule.

Seller, through no fault of its own, is unable to deliver the goods to buyer because the agreed type of carrier is unavailable. Explain what the Code requires.

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

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.

In which of the following situations does the seller have the right to cure?

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

Tender of delivery requires:

A buyer who sells rejected goods on behalf of the seller is entitled to reasonable expenses and a reasonable selling commission not to exceed ten percent of the gross proceeds.

In the case of partial destruction of identified goods before risk of loss passes to the buyer, the buyer has the option to avoid the contract or to accept the goods with due allowance from the contract price for the deterioration or deficiency.

Payment of a C.O.D. shipment constitutes an acceptance of the goods.

If an anticipatory repudiation substantially impairs the value of the contract, the aggrieved party may:

a. Distinguish between a rejection of goods and a revocation of acceptance of goods. b. What is the effect of a rejection? What is the effect of a revocation? c. Does the buyer have any obligations to the seller once she has rejected the goods?

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

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