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

---

Definitions:

Sampling Distribution

Sampling distribution is a statistical term describing the distribution of sample means or proportions over repeated sampling from the same population.

Standard Deviation

A statistical measure of the dispersion or variability within a dataset, indicating how spread out the numbers are from the average.

Control Charts

Graphic presentations of process data over time, with predetermined control limits.

Standard Deviations

A statistical measure that quantifies the amount of variation or dispersion of a set of data values.