SALE OF GOODS

Question 1

Sale of Goods:

Perfect Tender

Answer 1

Seller’s performance must be perfect or buyer can reject.

Question 2

Sale of Goods:

Rejection of Goods

Answer 2

Buyer can retain and sue for damages or reject all of a commercial unit and sue for damages.
Cure: Seller has second chance at perfect tender if:
1) S had reasonable grounds to believe delivery would be accepted; or
2) Time to perform hadn’t expired.

Question 3

Sale of Goods:

Installment K’s

Answer 3

B can reject installment only if there is a substantial

impairment that can’t be cured.

Question 4

Sale of Goods:

Acceptance of Goods

Answer 4

If accepting goods, B can’t later reject.
Payment doesn’t equal acceptance w/o opportunity to
inspect.
Implied acceptance if B keeps for reasonable amount of time.

Question 5

Sale of Goods:

Revocation

Answer 5

If B has not accepted goods, B may cancel K by revoking acceptance if:

1) Nonconformity substantially impairs value of goods;
2) Excusable ignorance of grounds for revocation or reasonable reliance on S’s assurance; and
3) Revocation within reasonable time after B discovers nonconformity.