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Home » US Law » 2022 Code of Alabama » Title 7 - Commercial Code. » Article 2 - Sales. » Part 6 - Breach, Repudiation, and Excuse.

Section 7-2-601 – Buyer’s Rights on Improper Delivery.

Section 7-2-601 Buyer’s rights on improper delivery. Subject to the provisions of this article on breach in installment contracts (Section 7-2-612) and unless otherwise agreed under the sections on contractual limitations of remedy (Sections 7-2-718 and 7-2-719), if the goods or the tender of delivery fail in any respect to conform to the contract, the […]

Section 7-2-602 – Manner and Effect of Rightful Rejection.

Section 7-2-602 Manner and effect of rightful rejection. (1) Rejection of goods must be within a reasonable time after their delivery or tender. It is ineffective unless the buyer seasonably notifies the seller. (2) Subject to the provisions of Sections 7-2-603 and 7-2-604 on rejected goods: (a) After rejection any exercise of ownership by the […]

Section 7-2-603 – Merchant Buyer’s Duties as to Rightfully Rejected Goods.

Section 7-2-603 Merchant buyer’s duties as to rightfully rejected goods. (1) Subject to any security interest in the buyer (subsection (3) of Section 7-2-711), when the seller has no agent or place of business at the market of rejection a merchant buyer is under a duty after rejection of goods in his possession or control […]

Section 7-2-604 – Buyer’s Options as to Salvage of Rightfully Rejected Goods.

Section 7-2-604 Buyer’s options as to salvage of rightfully rejected goods. Subject to the provisions of Section 7-2-603 on perishables if the seller gives no instructions within a reasonable time after notification of rejection the buyer may store the rejected goods for the seller’s account or reship them to him or resell them for the […]

Section 7-2-605 – Waiver of Buyer’s Objections by Failure to Particularize.

Section 7-2-605 Waiver of buyer’s objections by failure to particularize. (1) The buyer’s failure to state in connection with rejection a particular defect which is ascertainable by reasonable inspection precludes him from relying on the unstated defect to justify rejection or to establish breach: (a) Where the seller could have cured it if stated seasonably; […]

Section 7-2-606 – What Constitutes Acceptance of Goods.

Section 7-2-606 What constitutes acceptance of 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 (b) Fails to make an effective rejection (subsection […]

Section 7-2-607 – Effect of Acceptance; Notice of Breach; Burden of Establishing Breach After Acceptance; Notice of Claim or Litigation to Person Answerable Over.

Section 7-2-607 Effect of acceptance; notice of breach; burden of establishing breach after acceptance; notice of claim or litigation to person answerable over. (1) The buyer must pay at the contract rate for any goods accepted. (2) Acceptance of goods by the buyer precludes rejection of the goods accepted and if made with knowledge of […]

Section 7-2-608 – Revocation of Acceptance in Whole or in Part.

Section 7-2-608 Revocation of acceptance in whole or in part. (1) The buyer may revoke his acceptance of a lot or commercial unit whose nonconformity substantially impairs its value to him if he has accepted it: (a) On the reasonable assumption that its nonconformity would be cured and it has not been seasonably cured; or […]

Section 7-2-609 – Right to Adequate Assurance of Performance.

Section 7-2-609 Right to adequate assurance of performance. (1) A contract for sale imposes an obligation on each party that the other’s expectation of receiving due performance will not be impaired. When reasonable grounds for insecurity arise with respect to the performance of either party the other may in writing demand adequate assurance of due […]

Section 7-2-610 – Anticipatory Repudiation.

Section 7-2-610 Anticipatory repudiation. When either party repudiates the contract with respect to a performance not yet due the loss of which will substantially impair the value of the contract to the other, the aggrieved party may: (a) For a commercially reasonable time await performance by the repudiating party; or (b) Resort to any remedy […]

Section 7-2-611 – Retraction of Anticipatory Repudiation.

Section 7-2-611 Retraction of anticipatory repudiation. (1) Until the repudiating party’s next performance is due he can retract his repudiation unless the aggrieved party has since the repudiation cancelled or materially changed his position or otherwise indicated that he considers the repudiation final. (2) Retraction may be by any method which clearly indicates to the […]

Section 7-2-612 – “Installment Contract”; Breach.

Section 7-2-612 “Installment contract”; breach. (1) An “installment contract” is one which requires or authorizes the delivery of goods in separate lots to be separately accepted, even though the contract contains a clause “each delivery is a separate contract” or its equivalent. (2) The buyer may reject any installment which is nonconforming if the nonconformity […]

Section 7-2-613 – Casualty to Identified Goods.

Section 7-2-613 Casualty to identified goods. Where the contract requires for its performance goods identified when the contract is made, and the goods suffer casualty without fault of either party before the risk of loss passes to the buyer, or in a proper case under a “no arrival, no sale” term (Section 7-2-324) then: (a) […]

Section 7-2-614 – Substituted Performance.

Section 7-2-614 Substituted performance. (1) Where without fault of either party the agreed berthing, loading, or unloading facilities fail or an agreed type of carrier becomes unavailable or the agreed manner of delivery otherwise becomes commercially impracticable but a commercially reasonable substitute is available, such substitute performance must be tendered and accepted. (2) If the […]

Section 7-2-615 – Excuse by Failure of Presupposed Conditions.

Section 7-2-615 Excuse by failure of presupposed conditions. Except so far as a seller may have assumed a greater obligation and subject to Section 7-2-614 on substituted performance: (a) Delay in delivery or nondelivery in whole or in part by a seller who complies with paragraphs (b) and (c) is not a breach of his […]

Section 7-2-616 – Procedure on Notice Claiming Excuse.

Section 7-2-616 Procedure on notice claiming excuse. (1) Where the buyer receives notification of a material or indefinite delay or an allocation justified under Section 7-2-615, he may by written notification to the seller as to any delivery concerned, and where the prospective deficiency substantially impairs the value of the whole contract under the provisions […]