Illinois Notice by Buyer of Rejection of Goods Based on Obvious Nonconformity

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US-02883BG
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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

A seller's legal remedies include: Canceling the contract. Withholding or not delivering the goods. Reclaiming the goods. Reselling the goods and recovering damages for the difference in price. Recovering damages based on the current market price.

Basics of Rejection If the goods offered in a contract do not conform to their contractual description, the buyer has the right to reject those goods. If the buyer wants to reject the goods, however, they should make their rejection within a reasonable amount of time after delivery.

Under Sections 2-513(1) and (2) of the Uniform Commercial Code (UCC), the buyer has a qualified right to inspect goods. That means the buyer must be given the chance to look over the goods to determine whether they conform to the contract. If they do not, he may properly reject the goods and refuse to pay.

Section 69(1) of the Uniform Sales Act provides: "Where there is a breach of warranty by the seller, the buyer may, at his election: (a) accept or keep the goods [and recoup or recover damages, or] ; (b) refuse to accept the goods . . .; (c) rescind the contract to sell or the sale." In this article, "rejection" refers ...

Once the buyer accepts, she is obligated to pay at the contract rate and loses the right to reject the goods. Uniform Commercial Code, Section 2-607.

However, a merchant buyer who has rightfully rejected the goods is obligated to follow reasonable instructions from the seller with respect to the disposition of the goods in his possession or control, when the seller has no agent or business at the place of rejection.

Under Article 2, if the goods 'fail in any respect to conform to the contract,' then the buyer can reject the goods. Rejection simply means that the buyer refuses, or doesn't keep, the goods.

Sec. 2-313. Express warranties by affirmation, promise, description, sample. seller to the buyer which relates to the goods and becomes part of the basis of the bargain creates an express warranty that the goods shall conform to the affirmation or promise.

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Illinois Notice by Buyer of Rejection of Goods Based on Obvious Nonconformity