Missouri Revised Statutes













Chapter 400

Uniform Commercial Code

←400.02-705

Section 400.2-706.1

400.02-707→

August 28, 2015

Seller's resale including contract for resale.

400.2-706. (1) Under the conditions stated in section 400.2-703 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 article (section 400.2-710), 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 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 (section 400.2-707) or a buyer

who has rightfully rejected or justifiably revoked acceptance must account

for any excess over the amount of his security interest, as hereinafter

defined (subsection (3) of section 400.2-711).



(L. 1963 p. 503 § 2-706)







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