Advanced Search

§6A-2-706  Seller's resale including contract for resale. –


Published: 2015

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$40 per month.
TITLE 6A

Uniform Commercial Code

CHAPTER 6A-2

Sales

PART 6A-2-701

Remedies

SECTION 6A-2-706



   § 6A-2-706  Seller's resale including

contract for resale. –

(1) Under the conditions stated in § 6A-2-703 on seller's remedies, the

seller may resell the goods concerned or the undelivered balance thereof. Where

the resale is made in good faith and in a commercially reasonable manner the

seller may recover the difference between the resale price and the contract

price together with any incidental damages allowed under the provisions of this

chapter (§ 6A-2-710), but less expenses saved in consequence of the

buyer's breach.



   (2) Except as otherwise provided in subsection (3) or unless

otherwise agreed resale may be at public or private sale including sale by way

of one or more contracts to sell or of identification to an existing contract

of the seller. Sale may be as a unit or in parcels and at any time and place

and on any terms but every aspect of the sale including the method, manner,

time, place, and terms must be commercially reasonable. The resale must be

reasonably identified as referring to the broken contract, but it is not

necessary that the goods be in existence or that any or all of them have been

identified to the contract before the breach.



   (3) Where the resale is at private sale the seller must give

the buyer reasonable notification of his or her intention to resell.



   (4) Where the resale is at public sale



   (a) Only identified goods can be sold except where there is a

recognized market for a public sale of futures in goods of the kind; and



   (b) It must be made at a usual place or market for public

sale if one is reasonably available and except in the case of goods which are

perishable or threaten to decline in value speedily the seller must give the

buyer reasonable notice of the time and place of the resale; and



   (c) If the goods are not to be within the view of those

attending the sale the notification of sale must state the place where the

goods are located and provide for their reasonable inspection by prospective

bidders; and



   (d) The seller may buy.



   (5) A purchaser who buys in good faith at a resale takes the

goods free of any rights of the original buyer even though the seller fails to

comply with one or more of the requirements of this section.



   (6) The seller is not accountable to the buyer for any profit

made on any resale. A person in the position of a seller (§ 6A-2-707) or a

buyer who has rightfully rejected or justifiably revoked acceptance must

account for any excess over the amount of his or her security interest, as

hereinafter defined (§ 6A-2-711(3)).



History of Section.

(P.L. 1960, ch. 147, § 1.)