Legal Regulation

Contracts and the Uniform Commercial Code

In order to understand the history and the way in which the Uniform Commercial Code (UCC) relates to contracts it is important to first understand what the UCC is. The UCC addresses many aspects of commercial law. The UCC is generally viewed as one of the most important developments in American law (Uniform Commercial Code (UCC) , 2013). The UCC has been adopted with some variations in all fifty states including the District of Columbia, Puerto Rico, and the Virgin Islands. The only way in which the UCC, which is a model code has legal effect in any jurisdiction is if the UCC provisions have been adopted and enacted in the state’s legislatures as statutes.

The History of the Uniform Commercial Code

The American Law Institute and the National Conference of Commissioners on Uniform State Laws created the UCC. When the code was drafted the main purpose was to establish a uniform set of rules to govern commercial transactions that are conducted across state lines, as well as to create a body of rules that would solve the common problems which occur every day in commercial transactions (Mallor, Barnes, Bowers, & Langvardt, 2012). When the UCC was drafted it was also intended to designate rules which would aid in promoting fair dealings as well as higher standards in the marketplace.

Within the UCC there are nine different articles, of which one of the most important is that which deals with the sale of goods, Article 2. As technology and the way in which business transactions are conducted changes so does the UCC. Knowing that the UCC changes as technology changes, this likely means that the UCC will continue to change, due to the fact that the worlds technology is ever changing and with the changes in technology comes new and improved ways of conducting business transactions. There have been instances where the creation of new bodies of uniform law have been necessary to govern transactions that are similar to but...