In short
Under the perfect tender rule, a buyer may reject goods that fail in any respect to conform to the contract. The seller may have a right to cure the defect if time for performance remains.
Key takeaways
- A buyer may reject all the goods, accept all, or accept some commercial units and reject the rest.
- In installment contracts, a delivery can be rejected only if the defect substantially impairs its value.
- Rejection must be made within a reasonable time and the seller notified.
Where it's tested
REG: Business Law: Contracts — study notes, a five-minute revision sheet and practice questions.
Practise: 3 questions
Question 1 of 3 · 0 answered
On June 1, a merchant seller mails an offer to sell goods. On June 3, the seller mails a revocation. On June 4, the buyer mails an acceptance. On June 5, the buyer receives the revocation. Is there a contract?