Chap. 23 quizlet PDF

Preview

Summary

I made my notes into flashcard through Quizlet...

Description

Chap. 23: Performance and Obligations and Under Sales and Leases Study online at quizlet.com/_9k7mp8 1.

The Basic UCC Performance Obligation

Sellers and lessors are obligated to transfer and deliver conforming goods

6.

Perfect Tender Rule

Buyers and lessees are obligated to accept and pay for conforming goods in accordance with terms of contract

States that if goods or tender of delivery fail in any respect to conform to contract, buyer/lessee has right to: • Accept the goods, • Reject entire shipment, or

"Good faith" required in performance and enforcement of every contract 2.

3.

4.

Commercial Impracticability Doctrine

Exceptions to Perfect Tender Rule

good faith

Delay in delivery or non-delivery may not, in court's discretion, constitute breach if performance made impracticable because contingency has occurred that was not contemplated when parties reached agreement -industry standards -past dealings between parties -agreement between parties -seller's/lessor's right to cure -excuse from performance when identified goods destroyed through no fault of parties -"substantial impairment" (as it relates to revocation of acceptance and installment contracts) -commercial impracticability honesty in fact • In transaction between merchants, the UCC also imposes obligation of reasonable commercial standards of fair dealing (commercial reasonableness).

5.

Inspection, Payment, and Acceptance

Buyers/lessees obligated to accept and pay for conforming goods in accordance with contract. Exceptions exist. Buyers/lessees typically inspect goods to ensure agreement conformity. The concept of reasonableness governs inspection process. After inspection, buyer has option to accept, partially accept, reject, or revoke acceptance. • UCC guidelines govern right to exercise particular options after inspection.

• Accept part and reject part. 7.

Promissory Estoppel

Occurs when the following three conditions are met: One party makes a promise and either knows or should know that the other party will reasonably rely on it. • The other party does reasonably rely on the promise. • The only way to avoid injustice is to enforce the promise....