Article 2 — Sales · Section 2-201
This study guide provides an overview of UCC § 2-201, addressing the Statute of Frauds as it relates to sales contracts.
Source: U.C.C. § 2-201
A contract for the sale of goods priced at $500 or more is not enforceable unless there is some writing sufficient to indicate that a contract has been made between the parties and signed by the party against whom enforcement is sought. Also, a contract that is enforceable is one that is not required to be in writing if it is for specially manufactured goods or if a party admits in court that a contract was made.
UCC § 2-201 specifies that sales contracts involving goods priced at $500 or more must be in writing to be enforceable. Certain exceptions, such as specially manufactured goods or admissions in court, allow contracts to be enforceable without a written document.
A legal doctrine requiring certain contracts to be in writing to be enforceable.
Tangibles that are movable at the time of identification to the contract for sale.
Goods made specifically for a buyer that are not suitable for sale to others.
Example 1
A buyer orders custom-made furniture worth $1,500. Since it's specially manufactured, the contract is enforceable even without written evidence.
Example 2
A vendor and a purchaser discuss selling $600 worth of blankets. Without a written contract, the vendor cannot enforce repayment unless an exception applies.