Rejection, Acceptance, and Revocation Flashcards
What does 2-601 provide regarding the buyer’s right?
Buyer may reject if the goods or tender of delivery fail in any respect to conform to the contract.
What does 2-602 explain about the procedure for rejection?
Buyer must comply with proper procedure, reject within a reasonable time, have a reasonable opportunity to inspect, and notify the seller of rejection.
What must a buyer do after rejecting goods according to 2-602(2)?
Not exercise ownership and hold the goods long enough to allow the seller to remove them.
What does 2-606 state about acceptance of goods?
Buyer signifies to seller that goods are conforming or that he will take or keep them despite nonconformity.
What actions can signify acceptance of goods?
- Words or conduct
- Payment (considered but not conclusive)
- Failing to make an effective rejection after inspection
Under what condition can a buyer accept goods that are nonconforming?
Buyer can accept despite nonconformity if they signify willingness to keep them.
What are the consequences of rejection according to 2-601 and 2-602?
Seller may have a right to cure; if not, Buyer may cancel the contract, recover down payment, and sue for damages.
What happens if a buyer accepts the goods?
Rejection is precluded, and the right to revoke acceptance is limited; Buyer must pay the contract price.
What is required for a buyer to revoke acceptance under 2-608?
Buyer may revoke if non-conformity substantially impairs value, if it was assumed to be cured without cure, or if acceptance was induced by difficulty of discovery.
What procedure must a buyer follow to revoke acceptance?
Revocation must occur within a reasonable time after discovery of grounds and before substantial change in condition.
What rights and duties does a buyer have after effective revocation of acceptance?
Same rights and duties as if the buyer had rejected the goods.
Fill in the blank: Buyer must notify the seller of rejection within a _______.
reasonable time
True or False: A buyer can both reject and accept a particular widget.
False
What must a buyer do to preserve legal rights after acceptance?
Follow proper rejection procedures and notify the seller of any defects.
What must a buyer demonstrate to sue for damages after acceptance?
Burden of proving goods defective.
What does 2-605 require regarding specification of defects?
Buyer must specify the defects or lose the chance to assert them under certain circumstances.
What is the significance of the notice requirement in rejection?
Ensures the seller is informed of issues and can respond appropriately.
What happens if goods are used for a long time by the buyer?
It may signify acceptance of the goods.
In the hypothetical case of Sinon and the horse, what grounds for rejection are present?
The tail did not conform to the model.
What is the implication of a buyer using goods to inspect them?
Such use is not considered acceptance.
What is a buyer’s obligation if they accept the goods?
Must pay the contract price and may sue for damages with notice.
What does 2-608(3) indicate about the duties of the buyer after revocation?
Buyer has the same rights and duties with respect to the goods as if he had rejected them.
under 2-206 What constitutes acceptance of goods?
Acceptance occurs when the buyer:
* Signifies to the seller that the goods are conforming
* Will take or retain them despite nonconformity
* Fails to make an effective rejection
* Does any act inconsistent with the seller’s ownership
