Article 2 — Sales · Section 2-721
This section addresses the relationship between the Uniform Commercial Code and the principles of contract law in the context of sales.
Source: U.C.C. § 2-721
UCC § 2-721 states: "The provisions of this Article shall not prevent a party from recovering for any loss or damage resulting from breach of contract or from any action or failure to act by a party which is a breach of duty imposed by law."
UCC § 2-721 allows parties involved in a sales contract to seek remedies for losses caused by breaches of the contract or duties imposed by other legal principles, even if outside the specific rules outlined in the UCC.
A failure to perform as stated in a contract, which gives the non-breaching party the right to seek damages.
Legal obligations arising from statutes or common law that govern behavior beyond contractual terms.
Example 1
A buyer contracts to purchase a vehicle but the seller fails to deliver the vehicle. The buyer can recover damages for this breach under UCC § 2-721.
Example 2
A seller breaches a warranty about the quality of a product sold, leading to financial loss for the buyer. The buyer can pursue damages regardless of any remedies specified in the UCC provisions.