Article 2 — Sales · Section 2-206

UCC § 2-206

Quick Answer

What does UCC § 2-206 cover?

UCC § 2-206 outlines the preferences for acceptance of offers in the context of sales, providing clarity on how contracts can be formed.

Source: U.C.C. § 2-206

Official Text
According to UCC § 2-206, an offer to make a contract shall be construed as inviting acceptance in any manner and by any medium reasonable in the circumstances unless the offer specifies otherwise. Additionally, an order or offer to buy goods for prompt or current shipment shall be construed as an invitation for acceptance by either a prompt promise to ship or by the shipping of goods.
Plain Language

UCC § 2-206 states that an offer for a sales contract allows for acceptance in various ways unless specified otherwise. For example, an order for goods can be accepted either by sending a confirmation or by shipping the goods.

Key Definitions

Acceptance

An acceptance occurs when the offeree agrees to the terms of the offer, resulting in a binding contract.

Offer

An offer is a proposal made by one party to enter into a legally binding agreement with another party.

Practical Examples

Example 1

A buyer sends an order to a supplier for 100 widgets. The supplier accepts the order by shipping the widgets immediately.

Example 2

A restaurant sends a request for a wine order. The wine supplier responds by confirming the shipment of the specified wines without further negotiation.

Common Exam Issues
  • Distinction between acceptance through performance versus direct communication.
  • The impact of specific acceptance requirements stated in the offer.
  • Understanding the implications of a buyer's order for immediate shipment and the seller's acceptance.
Related Sections
  • ucc-2-205
  • ucc-2-201

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