Under the Code,"good faith" for merchants is defined as "honesty in fact in the conduct or transaction concerned."

Question

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Under the Uniform Commercial Code (UCC), "good faith" for merchants is defined not only as "honesty in fact" but also as the observance of reasonable commercial standards of fair dealing in the trade. This definition adds an objective standard to the subjective honesty in fact for merchants.

Under the Code,"good Faith" for Merchants Is Defined as "Honesty