Identification of Goods Flashcards
In the absence of explicit agreement identification occurs
(a) when the contract is made if it is for the sale of goods already existing and identified;
(b) if the contract is for the sale of future goods other than those described in paragraph (c), when goods are shipped, marked or otherwise designated by the seller as goods to which the contract refers;
(c) when the crops are planted or otherwise become growing crops or the young are conceived if the contract is for the sale of unborn young to be born within twelve months after contracting or for the sale of crops to be harvested within twelve months or the next normal harvest reason after contracting whichever is longer.
Identification occurs (reworded)…
when particular goods, whether conforming or not, are associated with a specific contract for their sale.
If the good exists and have been identified at the time of contracting, then the goods are identified to the contract when the contract is made.
If the goods are future goods, or if the goods exist but have not been identified at contracting, then identification typically occurs when the seller designates the goods as the contract’s subject matter (ex. By marking or shipping the goods)
The buyer obtains…
a special property and an insurable interest in goods by identification of existing goods as goods to which the contract refers even though the goods so identified are non-conforming and he has an option to return or reject them. Such identification can be made at any time and in any manner explicitly agreed to by the parties.
