California Notice by Buyer of Rejection of Goods for Breach by Seller of Shipment Duties

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US-02880BG
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Description

Section 2-504 of the Uniform Commercial Code provides in part as follows:


Where the seller is required or authorized to send the goods to the buyer and the contract does not require him to deliver them at a particular destination, then unless otherwise agreed he must


" Put the goods in the possession of such a carrier and make such a contract for their transportation as may be reasonable having regard to the nature of the goods and other circumstances of the case; and

" Obtain and promptly deliver or tender in due form any document necessary to enable the buyer to obtain possession of the goods or otherwise required by the agreement or by usage of trade; and

" promptly notify the buyer of the shipment.

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FAQ

The UCC permits the seller to also take other steps with respect to the goods directly affected or if the whole contract was breached, with respect to the whole undelivered balance of the contract. These remedies include withholding delivery of the goods, stopping the delivery of the goods or canceling the contract.

(1) Where the seller fails to make delivery or repudiates or the buyer rightfully rejects or justifiably revokes acceptance then with respect to any goods involved, and with respect to the whole if the breach goes to the whole contract (Section 2612), the buyer may cancel and whether or not he has done so may in ...

Goods Accepted The buyer does not have to reject nonconforming goods. She may accept them anyway or may effectively accept them because the time for revocation has expired. In such a case, the buyer is entitled to remedies as long as she notifies the seller of the breach within a reasonable time.

If a party fails to either substantially or fully perform, the other party's remaining obligations, if any, under the contract are discharged. Time for Performance: If no time is stated in the contract, performance is due within a reasonable time.

If the seller fails to perform any of his obligations under the contract, buyer may (1) declare the contract avoided if the seller's breach is fundamental; or (2) require performance by the seller of his obligations unless the buyer has resorted to a remedy which is inconsistent with this requirement; (3) require ...

If a seller fails to deliver conforming goods, the measure of recovery in the buyer's suit for damages is the difference between the contract price and the market price at the place of delivery at the time the buyer learns of the breach.

Perfect Tender Rule: If the goods delivered or the tender of delivery fail in any respect to conform with the terms of the contract, the buyer has the right to (i) accept the goods, (ii) reject the entire shipment, or (iii) accept part and reject part.

If a seller has delivered nonconforming goods that have been rejected, upon notice of an intent to cure, the seller automatically then has 15 days to deliver conforming goods. In the case of Rosenfeld v. Basquiat, Basquiat sold several paintings to Rosenfeld and provided him with a written receipt.

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California Notice by Buyer of Rejection of Goods for Breach by Seller of Shipment Duties