BL Ch. 11 T+F

Under the UCC, parties to sales and lease contracts are free to establish whatever terms they wish.

False

The risk of loss in a shipment contract passes to the buyer when the goods are delivered to the buyer at the specified destination.

True

Under the UCC, the meaning of any agreement must be interpreted in light of commercial practices.

True

Under the UCC, an offeror must be notified within a reasonable time that the offeree has accepted.

True

Title and risk of loss can pass to the buyer from the seller before the goods are identified to the contract.

False

A lessor is a party who acquires a right to the possession and use of goods under a lease.

False

Under the United Nations Convention on Contracts for the International Sale of Goods, an international sales contract does not need to be in writing or any particular form.

False

Under the UCC, an oral contract for a sale of goods is enforceable if goods have been received and accepted.

True

The UCC requires a contract modification to be supported by new consideration.

False

To be characterized as a "good" under the UCC, an item of property must be movable.

True

Goods associated with real estate never fall within the scope of UCC Article 2.

True

According to the UCC, one open term will cause a sales contract to fail for indefiniteness.

False

Under the United Nations Convention on Contracts for the International Sale of Goods, there are no irrevocable offers

False

If an owner holds fungible goods as an owner in common, he or she can pass title without actually separating the goods.

True

When goods are held by a bailee, risk of loss cannot pass to a buyer.

False

If the parties to a contract for a sale of goods have not agreed on a price, a court will determine a reasonable price at the time for delivery.

True

Under the UCC, if a contract for a sale of goods does not specify the quantity, a court will objectively determine what is a reasonable quantity.

False

If the goods are so nonconforming that the buyer has the right to reject them, the risk of loss does not pass to the buyer.

True

Under the UCC, an offeree can accept an offer to buy goods by a prompt shipment of conforming goods.

True

A merchant’s firm offer is revocable at any time before acceptance.

False

A seller with voidable title has the power to transfer good title to a good faith purchaser for value.

True

In interpreting a commercial agreement, a court will assume that the usage of trade was taken into account when the agreement was phrased.

True

When no delivery terms are specified in a contract for a sale of goods, there is no basis for determining a remedy.

False

Under the UCC, the risk of loss necessarily passes with title.

False

In a destination contract, the seller is required or authorized to ship goods by carrier.

False

Any explicit understanding between the buyer and the seller determines when title passes.

True

The terms of a fully integrated contract can be contradicted by evidence of any prior agreements.

False

When a merchant keeps the goods for the buyer to pick up, the risk of loss passes when the buyer actually takes possession of the goods.

True

Both the buyer and the seller can have an insurable interest in identical goods at the same time.

True

Under the UCC, good faith means honesty in fact and the observance of reasonable commercial standards of fair dealing in the trade.

True

When the risk of loss for goods passes from a seller to a buyer is generally determined by the contract between the parties.

True

If a sale involves crops that are to be harvested within twelve months, identification takes place when the crops are harvested.

False

When a buyer breaches a contract, the risk of loss immediately shifts to the buyer.

True

In contracts involving a sale of unborn animals to be born within twelve months, identification takes place when the animals are conceived.

True

Under the UCC, a sale is the passing of title from a seller to a buyer for a price.

True