Sales and contracts
In the business world, some companies to lease goods from the businesses that have already purchased the goods rather than purchasing themselves. Leasing basically involves the transfer of possession from one owner to the lessee. The rights of a person are different from the rights of a person who have purchased the goods. The lesser of good have the right for the consideration and the good have to be returned at the end of the lessee period.
A merchant is an important person under the uniform commercial code. In article two of the UCC; it is clear that merchants are very important persons since they are responsible for making transactions. The merchants have the responsibility of engaging in contractual agreement with the consumers in the modern world of business.
The most suitable example of course of performance which basically show how a particular transaction have been carried out is the purchase of consumer goods from an industry, their shipment until they get to the hands of the purchaser. Once the purchaser approves the receipt of good and give the consideration ends the course of performance.
Lately there have been sales that took place which is a transfer of title in goods in a contract from the seller to the buyer. The contract in the sale area is very important since it insists on two conditions that none of the parties to the sale contract can disclaim or waive. The conditions are that the transaction must be done in good faith and the second condition is that the bargaining power of the two parties into a sale contract is equal. The dominant party have to ensure that it is fair while dealing with the other party.
Usage of trade which refers to the standard custom that is wide accepted as a practise in most of the institutions as a way of resolving dispute could find its way to my work place. By applying usage of trade in the work place, it would be very easy for the management to solve disputes.
A bill of sale can be termed as a proof of sale which is given after a sale transaction. In the near past several sales transactions have taken place. The bill of sale would be very important in a situation where a case would go for trial as this is a prove that the holder of the bill of sale is the true owner of the goods.
The agreed on goods by the seller and the buyer can be referred to as the identified good. In a situation where the seller sends to the buyer the wrong goods and the transaction was an online transaction, the buyer can prove that the goods sent are the wrong goods. As the buyer, the UCC code that governs online transaction will help me prove that indeed the goods that we identified for purchase are not the goods that have been delivered.
A unit of good that is equal to the other is termed as a fungible good. A good example of fungible good is clips of Mexican origin which can be traded with clips of Chinese origin.
Where the title of good will pass from the seller to the buyer at a future time, such a contract is termed as a contract to sell. When dealing with property one can contract to sell tangible good that are movable and which fall under the definition of a good.
where a seller let’s assume seller A send a form where he is offering to sell certain goods to a buyer in this case B, and B on his part return the form accepting As offer, though the forms do not agree with each other on every point, under article 2, there is no contract between A and B. This is because for there to be a contract, A was supposed to transfer and deliver goods that conform to the buyer’s specification.
In a situation where the required good reach the buyer when the time has lapsed, like in the case of Cole where the spare part got to him late, veteran cannot sue Cole for breach of contract. This is because the obligation set under the law is that the sellers deliver the goods in a timely manner as per the agreement entered into. So the case would be dropped.
Where the two parties enter into a contract with conditions that are required to be met and in return on of the partners object the goods as in the case of Bell and the ABC can company, the objection is not legally valid. The reason behind this is that Bell did not conform to the time limit set out in the contract.
Where a good is fraudulently sold to a third party by a party to a contract who did not honour the terms and conditions of the contract, ownership and possession may not be legal. However there is a provision that the third party may acquire the title of the good legally if they obtained the goods in good faith and for a value.
The UCC does not cover the sale of services in its provisions. This is because in the most of the transaction in the service industries have been excluded in the UCC. UCC excludes transactions with regard to insurance contract, service contracts, employment contracts and contracts that involve intangible property. Under the category of intangible property the UCC have list the services offered for instance copyrights, patents, bank accounts and stocks (Emanuel, 2006).
Real estate’s is one of the areas where the UCC does not cover. Where an individual leases an office from the management company you enter into a contract though its nature is different from that covered under UCC. The guide lines that govern the real estate’s will be found in the real estate code.
Contract services include service for instance painting of houses, repairing of cars, or even interior decorating. Other service contract like paying an expect or another company to write a programme for you, or to provide a high speed internet service for you or even redesigning your place of work. For these cases, the UCC does not provide guidance with regard to this type of services (Sihombing, 1997). In cases of search service contracts the UCC does not provide adequate guide line to this effect. Therefore the person who wants to engage in service industry can only rely on the general principles that govern contract laws. Employment contracts are contracts where you engage the services of an employee where the offer to the employee may not be highly detailed. To this extent, the manner in which you are supposed to deal with the issue with regard to the employment contracts and the guidelines that have been set are not found in the UCC.
The courts analyze the contract for the sale of service with regard to the set principles and guidelines as found in the common law and the general principles. The court will base their decisions while ruling on issues with regard to real estate contracts, employment contracts as well as all other service contract with reference to the common law guidelines and the provisions set (Miller, 2003).
Emanuel, S. (2006). Contracts. New York: Aspen Publishers.
Sihombing, J. E. (1997). Goods: Sales and securities. Hong Kong: Hong Kong University Press.
Miller, F. H., & Stockton, J. M. (2003). Sales and leases of goods in a nutshell. St. Paul, MN: Thomson/West.