Question

What are some of the remedies of the seller if there is a breach of a sales contract? Provide an example. Do some Internet research and find a case that involves a UCC contract and that discusses a UCC remedy available to the seller. Provide a brief summary of the facts and an explanation of the court's decision. Do you agree with the decision?

What are some of the remedies of the buyer if there is a breach of a sales contract? Provide an example.  Do some Internet research and find a case that involves a UCC contract and that discusses a UCC remedy available to the buyer. Provide a brief summary of the facts and an explanation of the court's decision. Do you agree with the decision?

Answer 1

Under the UCC's Article 2, there are different seller remedies in case a buyer denies to comply with the contract. These remedies are
1. Canceling the contract
2. Withholding or not delivering the contract if the buyer asks for it later.
3. The seller can reclaim the goods if the buyer has not paid full.
4. The seller can also sell the goods and recover any damages or difference that may come in the price
5. The seller can directly recover damages from the buyer according to the current market price.

For example, John designs a special boat for Paul that is customized according to his needs. Paul agreed to take the boat on 1st June by paying $1000. Both enter a contract and Paul pays $200 upfront cost while signing the contract. Later when John calls up Paul after 1st June, Paul denies taking the order and refuses to pay the remaining amount. In this case, Paul breached the sales contract and John can consider the above remedies

Willhelm Lubrication Co. v. Brattrud's case in 1936 was based where a plaintiff and defendant entered into a contract to hold in store oil for the purchaser a designated quantity at a specific price that needed to shipped to Purchaser at Waseca, Minn on Aug 1st, 1934. Later the defendant repudiated the contract, and the plaintiff treated it as a breach of contract and called for damages. The court moved in the plaintiff's favor and the defendant had to pay the difference between the entire cost of goods to seller and price the defendant agreed to pay under the contract.

I agree with the decision as the contract and quantity were clear. Defendant Brattrud, agreed to take 11,500 gallons of oil of different brands and price of each weight was defined, hence the judgment was right and in the favor of the seller