Under the UCC a sales or lease contract will not fail for indefiniteness even if there are open terms if the parties intended to contract and if there is a reasonably certain basis for the court to grant an appropriate remedy. True / False.

Question

Business

Titus Parks

15 March, 22:29

Under the UCC a sales or lease contract will not fail for indefiniteness even if there are open terms if the parties intended to contract and if there is a reasonably certain basis for the court to grant an appropriate remedy. True / False.

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Answers (2)

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Baylee Mathis · Answer 1

The correct answer is True.

Explanation:

At the end of a common agreement, there is no consequence for any of the parties, since it is their will to end the contract that they previously agreed to sign

Termination of the lease by the lessor.

The lessor may unilaterally terminate the lease under the conditions established by law, paying any compensation that may arise.

The law expressly establishes when and why the lease can be terminated by the lessor, and only in those cases can the contract be terminated without there being room for the payment of a penal clause or non-compliance, if any, since in those cases the law in particular established how and why to terminate the contract, and set the penalties to which there is room.

Liliana Krause · Answer 2

True

Explanation:

In contract law and under UCC, indefiniteness means that the terms of a contract are too vague or too indefinite for the contract to be enforceable, e. g. a contract that sells a parcel of land but doesn't include the exact location. If any party breaches a contract that fails for indefiniteness, usually the other party cannot claim a remedy for the breaching. In the previous example, if someone received money in advance they cannot keep it, it must be returned at the buyer's request.

But even if contracts fail for indefiniteness, but the parties can still reasonably perform, then the contract might be considered valid under certain circumstances. E. g. a contract between merchants that doesn't include a sales price, just a request for merchandise. If both merchants had already been engaged in previous transactions, UCC rules set the price as the reasonable price at the time of delivery, or the price used in a previous transaction.

In our first example, if the seller can provide proof of location of the parcel of land and it satisfies the contract's terms, then that sales contract is enforceable.