Term
Choice of Law - CL or UCC -- UCC |
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Definition
The UCC governs all Ks for the sale of goods. Goods are all things movable at the time the K was formed, except investment securities, things in action & money in which the K is to be paid.
If merchant involved - a merchant is one who regularly deals in goods of the kind sold or has special knowledge or skill as to the goods involved |
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Term
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Definition
Offer requires:
1. manifestation of a present intent to contract by promise, undertaking or committment;
2. definite and certain to terms;
3. communication to an identified offeree who has the ability to accept |
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Term
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Definition
An offer that CANNOT be revoked for a rx time, not to exceed 3 months (90days) if:
1. offer to buy/sell goods
2. in a signed writing
3. promising to keep it open
4. by a merchant |
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Term
Has the offer been terminated? |
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Definition
When offeror manifests an intention to terminate offer,
A revocation is only effective upon receipt by offeree
After offer section, always ask yourself - is the offer terminated?
by:
1.lapse of time
2. revocation - effective when rec'd by offeree
-unless offer is irrevocable (option K or Firm offer 2-205 or detrimental reliance) |
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Term
Has the offer been terminated 2 |
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Definition
4. termination by operation of law
a. death or insanity
b. destruction of subject matter
c. supervening illegality |
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Term
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Definition
An acceptance is a manifestation of assent to the terms of the offer.
At CL - acceptance must be the mirror of the offer |
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Term
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Definition
Consideration requires a bargained for exchange between the parties involving legal value.
- detrimental reliance is a valid substitute for consideration
On essay "x paid for goods, y received money for goods"
Legal detriment
- adequacy generally irrelevant
-past consideration - no good GR
- pre-existing duty rule -- no good GR |
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Term
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Definition
1. statute of frauds
2. mistake
3. illegality
4. incapacity
5. unconscionability
6. duress
7. fraud
- discuss after consideration section.
ALWAYS mention SOF and how it was satisifed/not satisfied |
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Term
UCC 2-207 Additional/Diff.terms |
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Definition
1. a response to an offer that adds new terms but doesn't make them a condition of acceptance, IS ACCEPTANCE IF:
a. both NOT merchants, addt'l terms are a proposal to be separately accepted or rejected
b. if both ARE merchants, generally additional terms included in K -- EXCEPT
1. NOT if materially alters K
2. NOT if offeror objects to it
(Arb clause = material alteration so NOT included in K) |
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Term
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Definition
Seller a merchant:
ROL to buyer when they physically take
Seller a non-merchant:
Risk passes upon tender of delivery
ex: parties agree seller to deliver at noon. seller brings at noon, but buyer not there, goods destroyed at 1:30p, ROL to buyer for damaged goods |
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Term
UCC Right of Rejection of Goods |
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Definition
Single delivery K:
If the goods fail to conform to K, buyer MAY reject all, accept all or accept any commercial units
Seller MAY cure by giving notice and doing it on K date
Installment K:
an installment K can be rejected ONLY if nonconformity "substantially impairs" and cannot be cured |
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Term
Material v. Minor Breach of K |
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Definition
Minor = party receives sustantial benefit of the bargain
- limited damages resulting from breach
Material = doesn't receive benefit of the bargain
- MAY rescind K and suspend their OWN duty under K
- Get all forseeable damages AFTER duty to mitigate |
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Term
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Definition
An unambiguous statement that:
1. repudiating party will not perform
2. made prior to the time that performance was due
AFTER the non-repudiating party MAY:
1. suspend their own performance & sue
2. wait for performance
-- if you see "might" in fact pattern = NO AR
Right to demand assurances - MAY in writing demand assurance, After 30 days - no response - can treat as repudiated |
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