Sales

Question 1

Letter of assurance

Answer 1

Under the UCC, when reasonable grounds for insecurity arise with respect to the performance of either party, the other may, in writing, demand adequate assurance of due performance; until he receives such assurance, the party can suspend any performance for a commercially reasonable time. Failure to provide assurance of due performance within 30 days is effective repudiation /ri,pju:di’eiʃən/ 拒绝履行合同 of the contract.

Question 2

Repudiation /ri-pju:di’eiʃən/ 预期违约

Answer 2

Under the UCC, when either party repudiates /rɪ’pjudɪet/ the contract with respect to a performance not yet due, the loss of which will substantially impair the value of the contract to the other, the non-repudiating party can: (1) wait for performance for a commercially reasonable time, (2) resort to remedy for breach, or (3) suspend performance.

Question 3

Buyer’s Remedies

Answer 3

Under the UCC, in case of the seller’s wrongful failure to deliver or to perform or in case of repudiation of the contract, the buyer may: (1) cancel the contract and sue for damages, or (2) cover by making, in good faith and without any unreasonable delay, a contract to purchase goods in substitution /ˈsʌbstɪˈtuːʃn/ 替代品 for those due from the seller and sue for damages. In the event that the goods are nonconforming, the buyer can: (1) reject the goods and either cancel the contract or sue for damages under the contract or (2) accept the goods and sue for damages.

Question 4

Seller’s Remedies

Answer 4

Under the UCC, in case of the buyer’s breach of contract or insolvency/ɪnˈso-vənsi/ 无力偿债, the seller may withhold goods or stop delivery and reclaim the goods and sue for damages.

Question 5

Merchant (under the UCC)

Answer 5

Under the UCC, a merchant is a person who regularly deals in the type of goods involved in the transaction, or who through his occupation has specialized knowledge of the business practice involved.

Question 6

Statute of Frauds

Answer 6

Under the UCC, a contract for the sale of goods with a value of at least $500 is not enforceable unless there is some writing sufficient to indicate that a contract for sale has been made between that parties and signed by the party against whom enforcement is sought /sɔːt/ or by his authorized agent or broker.

Question 7

Goods

Answer 7

Under the UCC, goods are all things that are movable at the time of identification to a contract for sale. Goods do not include regular cash or currency, but goods do include money being treated as a commodity/kəˈmɒdəti/. Goods also include the unborn young of animals and growing crops to be severed /ˈsevər/ from land.