UCC Class 23 Reading Notes

Buyers Remedies

Problem 11-1
 Yes, has a cause of action under UCC 2-711
 However, could make an argument that she could be entitled to specific performance UCC 2-716
o Unlikely she will find something similar or the same because it is so unique

Problem 11 -2
 Could make an argument that UCC 2-711 and UCC 2-716
o Specific performance (2-716)
 Cannot get the materials in time
 The reliance of getting the project done on time therefore cannot cover
 Maybe be a proper circumstance
o Damages for breach and then for cover even with price higher and consequential damages he
incurs (2-711)

Dangerfield v. Markel
 Markel grew potatoes. Dangerfield sold potatoes to processors. The two had a contract for delivery
of potatoes from Markel to Dangerfield. Contract was for periodic deliveries. When price for
potatoes started to rise, Markel wanted to sell to someone else at higher price. Markel is in breach
because he told Dangerfield he wasn’t going to deliver anymore. Dangerfield goes to 4 different
sellers and buys them at a higher price.
o Dangerfield’s cover was compliant
o Burden is on the seller to show that cover was not properly obtained
o Under 2-712 substitute goods are presumes to be in compliance and if seller has no proof
otherwise, then cover damages are good

Problem 11-3
 Burden is on seller to show that buyer did not reasonably cover
 Yes, strong argument that the cover was consist with statute
o Because he good faith thought that the price would go down
o He was trying to wait for it to go longer than buy it so high
o Just because later it proves is not the cheapest than that does not mean it was not reasonable
 Damages
o Cover - K Price + consequential - any savings
 $5 K price
 $8 cover
 $.50 for delivery cost
 3.50 * 96,000
 $336,000

Problem 11-4
 MP - K price
o 7 MP
o 5K
o 2.50 * 96,000
 $240,000

Problem 11-5
 No he cannot recover more because the purpose is to put the buyer in the same position and not
punish the seller
o Expectation interest