Tender And Cure Flashcards
(15 cards)
What is the general rule in contracts for the sale of goods under the UCC regarding buyer’s entitlement?
The buyer is entitled to a perfect tender.
What does ‘perfect tender’ mean in the context of UCC contracts?
The goods and their delivery must conform exactly to the contract.
What is an exception to the perfect tender rule?
If the seller has reason to think that nonconforming goods will be acceptable to the buyer.
Under what condition can a seller be given a reasonable time to cure?
Upon notification of its intention to cure.
Can the reasonable time to cure extend beyond the original time for performance?
Yes.
True or False: The store owner can cancel the contract if the seller has a reasonable time to cure.
False.
Fill in the blank: The seller must be given a reasonable time within which to _______.
[cure].
What can a seller do if the buyer rejects goods because of defects?
The seller may cure by giving reasonable notice and making a new tender of conforming goods.
What must the buyer do if the new tender of conforming goods is made within the original time provided for performance?
The buyer must accept the conforming goods.
What is the standard used to determine whether the seller should be granted time to cure beyond the original time?
Whether the seller reasonably believed the goods would be acceptable with or without money allowance.
Does the seller’s right to cure depend on the reasonable belief about the goods’ acceptability within the original time?
No, it has no bearing on the seller’s right to cure within the original time.
What is the standard for canceling an installment contract?
Whether the nonconforming goods substantially impair the value of the entire contract.
Does the standard for canceling an installment contract apply to a seller’s right to cure?
No, it does not apply to a seller’s right to cure.
Fill in the blank: If the seller cures by making a new tender of conforming goods, the buyer _______.
must accept the conforming goods.
True or False: The buyer has the option to reject conforming goods if the new tender is made within the original performance time.
False.
