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The UCC and Relaxing Contracts

The UCC and Relaxing Contracts

 

The Uniform Commercial Code (UCC) is a group of laws governing commercial or business transactions throughout the United States. The UCC has made key changes to the common law principles of contracts to accommodate the needs of people dealing with one another in the modern business world. One of the primary areas of modification deals with the sales contract.

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A sales contract must contain the same essential elements as other contracts: offer and acceptance, consideration, competent parties and legal purpose. In general, the same rules that apply to basic contract law also apply to sales contracts. In some areas, however, the UCC changes those rules as they apply to the sale of goods.

For example, the UCC allows a contract (for the sale of goods) to be enforced as long as the parties really intended to make the contract, even in cases in which essential terms—such as those specifying price, quantity, etc.—are missing.

Based on your reading for this week:

Consider the many lawsuits brought into the court system, the potential slowdown in the system, and the large cost of hearing all of these actions. Why do you think that the UCC relaxes the basic contract rules that apply to sales contracts? Do you believe that this relaxing of the rules (by the UCC) that apply to sales contracts is a good thing?

With these thoughts in mind:

Post a 300 word statement by Wednesday December 28, 2016 about why you believe that the UCC relaxes the basic rules that apply to contracts for the sale of goods and whether you feel that this modification is positive for business.

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