Question 1 UCC Section 2-205 provides that all firm offers are irrevocable for three months.
Question 2 Sam’s price quote written on his company’s letterhead satisfies the UCC Section 2-205 requirement that a firm offer must be made in a signed writing.
Question 3 By submitting a bid to Fred for the construction project, Bill accepted Sam’s offer.
Question 4 Revocation of a Firm Offer must be communicated in writing to the buyer.
Question 5 Bill is entitled to receive cover damages from Sam in the amount of $1,000.00.
Question 6 Bill is entitled to receive punitive damages from Sam since Sam revoked his offer.
Question 7 According to the UCC Section 2-201, the Statute of Frauds requires that a contract for tiles in the amount of $8,000.00 must be in writing with the quantity stated and signed by both parties in order to be enforceable
Question 8 Steve and Bill entered into a valid shipment contract for the purchase of doors.
Question 9 In a destination contract the risk of loss passes from the seller to the buyer when the seller tenders the goods to the buyer at the destination point.
Question 10 Steve was discharged by impossibility when the doors were destroyed by lightning during transportation to Bill.
Question 11 The term “Free on Board (FOB)” can denote a shipment or destination contract depending on the stated location in the term.
Question 12 UCC Section 5-509 states that when the goods are neither shipped by a carrier nor held by a bailee, the risk of loss passes to the buyer on his receipt of the goods if the seller is a merchant.
Question 13 Bill is entitled to receive the full contract price of $6,000.00 from Steve.
Question 14 According to UCC Section 2-508, a seller who delivers non-conforming goods to a buyer has a reasonable opportunity to cure the non-conformity as long as he notifies the buyer and it is still within the stated contract time of delivery.
Question 15 Susan delivered defective windows to Bill on October 15, 2007.
Question 16 Susan is a lost volume seller since she had thousands of windows in stock and could supply anyone with as many windows as they need, at any time.
Question 17 Susan is entitled to recover the full contract price of $12,000.00 from Bill.
Question 18 Bill is entitled to receive $500.00 in compensatory damages from Tina
Question 19 An injured party may also receive incidental damages for the costs of transportation, storage or commission
Question 20 According to UCC Section 2-206, unless otherwise stated in the offer, an acceptance may be made in any manner and by any medium reasonable under the circumstances.