Question

Suppose that Dr. Reilly owns a medical clinic and enters into a contract to buy 500 tablets of Gensol from Pharzime. The Gensol that he orders are 200 milligrams each. The Gensol that is delivered are 100 milligrams each. Which of the following is true about the goods?a. The goods are conforming because of the perfect tender rule.
b. The goods are nonconforming unless if the price per milligram comes out to be the same.
c. The goods are nonconforming because of the perfect tender rule.
d. The goods are conforming because the clinic could substitute two 100 milligram pills for one 200 milligram pill.

Answer 1

Answer:

C) The goods are nonconforming because of the perfect tender rule.

Explanation:

Under UCC rules, the perfect tender rule applies to contracts where goods are sold, and it states that the seller must comply with the specifications that the buyer required. The perfect tender rule is used for products whose compliance with certain norms is important and vital, e.g. pharmaceutical drugs.

On the other hand, the substantial performance rule may apply to circumstances where the specifications are not that important, and a product close enough is considered sufficient. E.g. a contract for the sale of t-shirts that require a specific type of red might be satisfied by providing red t-shirts even if it wasn't the exact type of red.