Asked by Donald R. Johnson on Jun 05, 2024
Verified
Bridget contracts with Hunter to purchase $30,000 worth of goods for her store.Hunter wants a clause in the contract stating that neither party will sue the other after one year from the date of breach of contract.Which of the following is true of this situation?
A) Parties are not allowed to provide time limits in their sales agreements,since the UCC sets this time.
B) Competent and informed parties can agree to set any time limit to sue for breach of contract.
C) The courts must review the time limits the parties have determined in the sales agreement as reasonable.
D) The UCC allows parties to shorten the time limit to bring a suit to a minimum of one year.
Breach of Contract
Breaching any terms and conditions that were mutually agreed upon in a legally enforceable agreement.
Time Limit
A specific duration within which a task must be completed or a condition must be met.
UCC
An acronym for the Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States.
- Comprehend the function of tender of delivery and payment in executing sales agreements.
Verified Answer
LM
Leticia MolinaJun 10, 2024
Final Answer :
D
Explanation :
The Uniform Commercial Code (UCC) permits parties to a contract to modify the statute of limitations period, but it cannot be reduced to less than one year. This allows parties some flexibility while ensuring a minimum period to bring a lawsuit.
Learning Objectives
- Comprehend the function of tender of delivery and payment in executing sales agreements.