Perry and Tim Negotiate a Contract Governed by the UCC

question 25

Multiple Choice

Perry and Tim negotiate a contract governed by the UCC. Tim wants to extend the time to make a warranty claim, so Perry and Tim agree that Tim could sue for breach any time within eight years. Tim sues for breach after six years. Can Tim make a claim?

• A) Yes, because there is a 10 year statute of limitations under the UCC.
• B) Yes, because the parties are free to negotiate any statute of limitations they want.
• C) No, because parties to a contract are never allowed to negotiate on the statute of limitations.
• D) No, because the UCC requires a lawsuit to be brought within four years and parties to a contract are not free to negotiate a longer time period than the UCC's four year limit.
• E) It depends upon the contract terms.

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Definitions:

Real Property

Real estate comprising the ground and any structures or natural features permanently affixed, such as homes and foliage.

Properly Executed Deed

A legal document that has been completed correctly, meeting all necessary formalities to transfer ownership of property.

Oral Declaration

A statement or announcement made verbally and not in written form, which can be legally binding under certain conditions.

Real Property Title

Legal ownership and right to the use of land and the permanent structures attached to it.