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

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Multi-State
Control #:
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

If a buyer refuses to accept delivery of goods, the seller can store the goods for the buyer and sue to recover the sales price if the goods are not readily resalable to another customer. Stoppage in transit is the right of an unpaid seller to stop goods in transit and order the carrier to hold them for the seller.

India Code: Section Details. Unless otherwise agreed, where goods are delivered to the buyer and he refuses to accept them, having the right so to do, he is not bound to return them to the seller, but it is sufficient if he intimates to the seller that he refuses to accept them.

Cancel?A Seller may cancel a contract when a buyer has wrongfully rejected acceptance of the goods, failed to make payment due on or before delivery, or repudiated the contract. B. Withhold?A Seller may withhold delivery of goods to a buyer who has wrongfully rejected acceptance of the goods for the same reasons.

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 ...

A fundamental principle of contract law is that a party that accepts the delivery of nonconforming goods must pay the full contract price.

The UCC sets out buyer's remedies if goods are not received or if they are rightfully rejected or acceptance is rightfully revoked. Cancel. ... Recover the Price. ... Cover. ... Sue for Damages for Nondelivery. ... Recover the Goods.

(1) Acceptance of goods occurs when the buyer. (a) after a reasonable opportunity to inspect the goods signifies to the seller that the goods are conforming or that he will take or retain them in spite of their nonconformity; or.

(2) Revocation of acceptance must occur within a reasonable time after the buyer discovers or should have discovered the ground for it and before any substantial change in condition of the goods which is not caused by their own defects. It is not effective until the buyer notifies the seller of it.

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