Comparing Article 2 of the Ucc to the Ucita

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Comparing Article 2 of the UCC to the UCITA

Therese Williams

American Intercontinental University

Abstract

This research paper examines the differences between Article 2 of the UCC and the UCITA. It explains what the first most significant attempts by the government to uniform commercial law from state to state. Information in this paper is from a number of references such as: The Oyez Project, UCITA Online and Clarke, L. This paper also tells you the legal distinction between selling and licensing a product. Finally, it gives you a reason the “drafters” decided to propose it as a separate and distinct uniform act.

Comparing Article 2 of the UCC to the UCITA

The “Commerce Clause” was one of the first, most significant attempts by the U.S. government to promote uniformity in commercial laws from state to state. This law is from the U.S. Constitution. This clause provided Congress the authority to regulate all “intercourse” conducted between parties situated in different states. (Gibbons vs. Ogden, 1824).

Congress passed the Interstate Commerce Act in 1887. This act also established an enforcement board of five members known as the “Interstate Commerce Commission” or ICC for short. At first the ICC was created for addressing problems with the monopolies, by setting guidelines for how railroads do their business. (Act of Feb. 4, 1887).

Article 2 of the Uniform Commercial Code is used with transactions involving the sale of goods; this includes all items that can be both identifiable and movable at the time of sale. Transactions involving service contracts are not covered by Article 2. The sale of real estate, insurance, membership to a health club, or a contract between you and a painter to paint your house would not be covered by Article 2. But the sale of an automobile or a computer would be covered by Article 2. (“What is Article”, n.d.).

The Uniform Computer Information Transaction Act is a state contract law that is developed to help regulate...