A Buyer Ordered Custom Made Equipment

question 96

Multiple Choice

A buyer ordered custom made equipment. The delivery date was not set, but the seller promised to do the job in a reasonable time. When the equipment was not ready when the buyer hoped, the buyer cancelled the order. The seller demanded payment. You would expect the court to hold that:

• A) failure to deliver by the delivery date expected by the buyer was a breach of contract, so nothing was owed by the buyer
• B) because UCC 2-207(b) states that special terms are to be specified in the contract, as was the case with this order, the seller was in breach for not fixing a delivery date
• C) no delivery date was fixed, but the seller worked on the equipment and so will be paid for the work done up to time of cancellation
• D) no delivery date was specified by the buyer, so he had no right to cancel the order and is liable for all costs plus lost profits
• E) the breach was done with malice, so punitive damages could be added to the compensatory damages

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Definitions:

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