Perry and Tim Negotiate a Contract Governed by the UCC

question 61

Multiple Choice

Perry and Tim negotiate a contract governed by the UCC. Perry is worried about being sued, so Perry and Tim negotiate an agreement wherein each will only have 16 months to pursue a claim for breach. Tim, claiming the UCC gives him four years to sue, files a claim after three years. Can Tim go forward with his claim?

• A) Yes, because the UCC does allow him four years and parties cannot change that.
• B) Yes, because the UCC allows him four years and parties can only extend the UCC statute of limitations, not shorten it.
• C) No, because buyers and sellers are free to negotiate contractually a shorter time period than the UCC's four year statute of limitations.
• D) No, because parties to a contract are never allowed to negotiate on the statute of limitations.
• E) It depends upon the contract terms.

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Definitions:

Immunosuppression

A reduction in the efficiency of the immune system's ability to fight infections or diseases.

Law of Effect

A psychological principle suggesting that behaviors followed by satisfactory outcomes are more likely to be repeated, whereas those followed by unsatisfactory outcomes are less likely to be repeated.

Satisfying Outcomes

Outcomes that fulfill or exceed the expectations of an individual, leading to contentment or happiness.

Behaviors

The observable actions, reactions, or conduct of an individual or group in response to external or internal stimuli.