Selected Answers to Chomsky and Kunz Chapter 20

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20-1 (C): 2-711 allows for cancellation rather than termination because cancellation reserves the aggrieved party’s (buyer’s) right to recover for any unperformed parts of the contract. Termination would provide less of an incentive for sellers to perform because the contractual obligations would be discharged. 20-2 (A): Under 2-502, a buyer must establish a special property to recover, which is accomplished under 2-501 by identifying the goods mentioned in a contract, even if they are non-conforming. 20-2 (B): To be granted specific performance under 2-716(1), a party must show that the goods involved are unique by demonstrating, for example, particularity or peculiarity of the goods in question, OR in other special cases, such as potentially those in which cover is impossible. 20-2 (C): For replevin under 2-716(3), cover must be reasonably unavailable and a special property under 2-501 must exist. 20-3 (A): o 2-712(2): o (Cover – Contract Price) + (Incidental Dmgs + Consequential Dmgs) – Expenses Saved by Breach o 2-713(1): o (Market Price @ Breach – K Price) + (I. Dmg + Con. Dmg) – Expenses Saved by Breach

20-3(B): The major difference is that, if the buyer covers, the damages are based around the price of the cover while, if the buyer doesn’t cover, the damages for non-delivery or repudiation are based around the difference between the market price at the time of discovery of breach and the contract price. 20-3(C): To effect a valid cover, the buyer must first have had the seller breach the contract, at which time the buyer can, without unreasonable delay, buy or contract to buy goods which are the same as those in the breached contract or which are similar enough to be commercially viable substitutions. The buyer must use good faith in choosing the replacement goods and, if good faith is used, it does not matter if the goods purchased to cover ultimately ended up not being the least expensive alternative.

20-3(D): 2-713(2) and 2-723(1) add a means to...