I. General Matters (Ucc Article 1)

I. General Matters (UCC Article 1).......................................................................................
1
II. Does Article 2 Apply?..........................................................................................................1
III. Contract Formation............................................................................................................1
IV. Warranties...........................................................................................................................2
V. Contract Terms....................................................................................................................2
VI. Performance of Contract....................................................................................................3
VII. Remedies...............................................................................................................................3
I. GENERAL MATTERS (UCC ARTICLE 1)

A. IF UCC INSUFFICIENT  COMMON LAW §1-103
B. OBLIGATION OF “GOOD FAITH” IMPLIED IN EVERY CONTRACT §1-203
1. “Good Faith” §1-201(19)
C. “REASONABLE TIME” §1-204
D. “COURSE OF DEALING” & “USAGE OF TRADE” §1-205
II. DOES ARTICLE 2 APPLY?

E. SCOPE OF ARTICLE 2
2. “Transactions in Goods” Only §2-102
a) “Goods” §2-105(1)
(1) Goods to be Severed from Realty §2-107
b) Hybrid Contracts
These are contracts for both services and goods
(2) Predominate Factor Test
When service predominates, and the transfer of personal property is but an incidental feature
of the transaction, the UCC (and its implied warranties) will not apply. This is the traditional
test the courts use.
(a) Factors
Factors the courts consider include the purpose of entering the agreement, cost of goods
versus service, nature of the business, and the contract language.
(3) Gravaman Test
Where a merchant sells consumer goods (which retain their character as consumer goods) as
part of a commercial transaction, after completion of the merchant’s promised performance to
the consumer the UCC (and it’s implied warranties) apply to the consumer goods, even if the
transaction is predominantly one for the rendering of services.
F. ARTICLE 2 HAS SPECIAL RULES FOR “MERCHANTS”
3. “Merchants” §2-104
III. CONTRACT FORMATION

G. STATUTE OF FRAUD §2-201
4. General Elements (1)
5. Merchant Confirmation Exception (2)
6. Contracts Enforceable Despite Failing General Elements (3)
c) Specially Manufactured Goods (a)
d) Party Admits in his Pleading (b)
e) Payment Made (c)
H. PAROL EVIDENCE RULE §2-202
7. A writing intended by parties as a final expression of their agreement may not be contradicted by
evidence of any prior or contemporaneous oral agreement…
8. but may be explained by…
f) Course of dealing or Usage of trade §1-205
g) Course of performance §2-208
h) Evidence of Consistent Additional Terms (Comment 3)
I. FORMATION IN GENERAL §2-204
9. “Contract can be made in any Sufficient Manner” (1)
10. Unknown Moment of Making  No Contract (2)
11. Open Terms  No Contract (3)
J. FIRM OFFERS §2-205
K. OFFER AND ACCEPTANCE §2-206
12. Generally (1)
13. Non-Notification of Acceptance w/in Reasonable Time  Lapse (2)
L. BATTLE OF THE FORMS (ADDITIONAL TERMS IN ACCEPTANCE/CONFIRMATION) §2-
207
IV.WARRANTIES
M.TYPES OF WARRANTIES
14. Title §2-312
15. Express §2-313
16. Implied
i) Merchantibility §2-314
j) Fitness for a Particular Purpose §2-315
(4) “Harmful Substance in Food”
If “harmful substance in food”, courts have split into the following two camps.
(b) Natural Substance
If the harmful substance is a natural substance, then the merchant is not liable.
(c) Reasonable Expectations
If a substance (foreign or natural) harmed the “biter”, and the biter’s “reasonable
expectations” are that the substance would have been removed, then the merchant is
liable.
N. DISCLAIMERS AND LIMITATIONS §2-316
17. Express Warranties  Impossible to Disclaim §2-316(1)
18. Implied Warranties §2-316(2-3)
k) “Conspicuous” §1-201(10)
O. DEFENSES
19. Notice §2-607(a)
20. Privity §2-318
21. Strict Products Liability
V. CONTRACT TERMS
P. FILLING IN THE GAPS §2-305 TO §2-311
Q. UNCONSCIONABILITY §2-302
22. Procedural Uncon.
Procedural has to do with the  forcing the  to sign he contract.
23. Substantive Uncon.
Substantive involves the actual terms of the contract itself.
R. IDENTIFICATION OF THE GOODS §2-501
S. RISK OF LOSS: NO BREACH
24. General Rules
l) §2-401(1)
m) §2-509(1-3)
n) §2-503
25. Delivery Terms
o) Non-Carrier (“Where?”)
(5) Presumption = Seller’s Place of Business
(6) If Seller has no place of business, then his Residence
p) Carrier (“Articulated”)
(7) English
Ex: Seller will get the goods to Portland.
(8) FOB (“Free on Board”) §2-319
Ex: FOB Portland
(9) FAS (“Free Along Side”) §2-319
Ex: FAS Portland. Seller is obligated to get the goods to the port, but the buyer takes
responsibility from there.
(10) C&F (“Cost and Freight”) §2-320
C&F 500 = $550 (plus cost of insurance)
(11) CIF (Cost, Insurance, and Freight) = CAF (Cost Assurance and Freight) §2-320
CIF 500 = $500
VI. PERFORMANCE OF CONTRACT

T. INSTALLMENT SALES §2-612
U. PERFECT TENDER RULE §2-601
V. CURE §2-508
W. REJECTION AND ACCEPTANCE
26. Rejection §2-602
27. Acceptance
q) “Acceptance” §2-606
r) Effect of Acceptance §2-607
s) Revocation of Acceptance §2-608
Under Revocation, BOP upon buyer to show non-conformity substantially impairs value to buyer.
28. “Lemon Laws” (Magnuson-Mos)
States have enacted statutes (“Lemon Laws”) that resolve disputes that arise in connection with a
consumer’s purchase of an automobile.
X. RISK OF LOSS: BREACH §2-510
29. If §2-510 NA, look back at §2-509
Y. IMPOSSIBILITY OF PERFORMANCE
Libenson didn’t spend too much time on this, therefore it may not be a tested item.
30. Casualty to Identified Goods §2-613
31. Substituted Performance §2-614
32. Excuse by Failure of Presupposed Conditions §2-615
33. Procedure on Notice Claiming Excuse §2-616
VII. REMEDIES
Under UCC, remedies are to be liberally administered so as to put  in as good a position as if the other
party had fully performed (i.e. ’s rightful position). §1-106
Z. REMEDIES FOR SPECIAL SITUATIONS
34. Insolvency
t) Buyer’s Right to Goods on Seller’s Insolvency §2-502
u) Seller’s Remedies on Discovery Buyer’s Insolvency §2-702
35. Liquidated Damages
v) Article 2 §2-718(1)
w) Article 2A (Leases) §2A-504
36. Breaching Buyer’s Restitution §2-718(2-4)
AA. SELLER’S REMEDIES§2-703
37. Accepted Goods §2-709
38. Unaccepted Goods
x) Seller Resells Goods to Someone else §2-706
y) Seller’s Right to Identify Goods §2-704
z) Seller Doesn’t Resell Goods to Someone else §2-708
(12) Loss Volume Seller §2-708(2)
BB. BUYER’S REMEDIES §2-711
39. Accepted Goods §2-714
aa) Buyer’s Consequential & Incidental Damages §2-715
40. Unaccepted Goods §2-711
bb) Cover §2-712
41. Specific Performance §2-716

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I. General Matters (UCC Article 1).......................................................................................

I. GENERAL MATTERS (UCC ARTICLE 1)

II. DOES ARTICLE 2 APPLY?

III. CONTRACT FORMATION

VI. PERFORMANCE OF CONTRACT

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