Quiz 23: Nature and Form of Sales


The answer is a. The seller must reply with a letter to reject, otherwise the purchase order is assumed to have been agreed upon. The purchase order satisfied the Statute of Fraud. It need not be signed by both parties.

Refer to the case Hunter's Run Stables v Triple H (938 F Supp 166) to answer question as below. The issue is whether the Uniform Commercial code applied for the warranty of the purchase made by plaintiff from the defendant's. Relevant Terms, Laws, and Cases Uniform Commercial Code (UCC) Article 2 - concerns the sale of tangible goods. Opinion The trial court denied both parties motion for summary judgment. The court held that the UCC is not governing in this case as defendant was not selling a good; they were selling their services as a constructor. Therefore, the constructor owed no warranty on the material used for construction of the building. On the other hand, the UCC governs the sale between the building material supplier and the constructor, however, plaintiff do not have a relation with the material supplier to make a UCC claim.

a) False. The buyer accepted the offer later than May 2. Contract is formed only on sending of acceptance. b) False. The merchant offered a good at a certain price to buyer, claimed that his offer be opened until a set date, and signed it. This contains all provisions required for a firm offer governed by Uniform Commercial Code 2-205. The merchant is not allowed to revoke offer until the date given in his offer. c) True. This is a firm offer where merchant set the offer to be opened until a given date; hence, the merchant can only revoke after the date they set the offer to end. d) False. Acceptance is effective upon the time that the buyer accepted the offer, in this case, when they placed the acceptance in the mailbox.

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