Saturday, August 10, 2019

Uniform Commercial Code Essay Example | Topics and Well Written Essays - 1500 words

Uniform Commercial Code - Essay Example In the United States, the remedies of buyers and sellers of goods are governed by the Article 2 of Uniform Commercial Code (UCC) as it has been adopted with variations from state to state. Some contractual control over remedy is developed by the Article II of the Uniform Commercial Code, i.e., liquidated damages clauses; and contractual modification or limitation of remedy under UCC 2-719. Some remedies have been promoted for mistake and unconscionability as like, mistake in the formation of an agreement - the recession and restitution remedies; mistake in integration or expression - the reformation remedy; mistake in performance of an obligation - the restitution remedy; and unconscionability. If one of the parties to sale fails to perform the contract duties, the law makes several remedies available to the other party (Anderson; 1980:372). Remedies for the aggrieved seller are listed in the Uniform of Commercial Code 2-703 and 2-711 gives the basic buyer's remedies. The underlying doctrine for Code remedies is contained in section 1-106, which restates "the common-law theory of contract damages." Remedies under the Code are designed to protect the expectation interest of the party not in breach, and to provide "just compensation for the loss." The focus of the Code's remedial structure is on the anticipated future result if a party in breach has fully performed. Remedies under the Code are found in several sections, depending on who the breaching party is and at what point in the transaction breach occurs. The Article 2 concept that usually dictates which of these two remedial schemes will apply is "acceptance." If a buyer receives and continues to "accept" the goods, the exchange will normally be completed despite a breach. 7 Thus, except in rare circumstances, a buyer can retain accepted goods and a seller is entitled to the price for accepted goods.8 Seller's Remedies under UCC When contract for sale is breached by the buyer, the seller has a number of remedies available. Among the seller's remedies under the circumstances in 2-203 of the Uniform of Commercial Code, are the option to cancel, UCC 2-106(4), 2-703(f), or to withhold delivery, UCC 2-703(a).9 UCC 2-703 certify that where the buyer wrongfully rejects or revokes acceptance of goods or fails to make a payment due on or before delivery or repudiates with respect to a part or the whole, then with respect to any goods directly affected and, if the breach is of the whole contract (UCC 2-612), then also with respect to the whole undelivered balance, the aggrieved seller may following remedies: (a) withhold delivery of such goods; (b) stop delivery by any bailee as hereafter provided (UCC 2-705); (c) proceed under the next section respecting goods still unidentified to the contract; (d) resell and recover damages as hereafter provided (UCC 2-706); (e) recover damages for non-acceptance (UCC 2-708) or in a proper case the price (UCC 2-709); (f) cancel. Before

No comments:

Post a Comment