Article 2 — Sales · Section 2-723
Explore UCC § 2-723, addressing the Statute of Limitations for sales under Article 2 with practical examples and analysis.
Source: U.C.C. § 2-723
UCC § 2-723 provides that an action for breach of a contract for sale must be commenced within four years after the cause of action has accrued, unless the parties have agreed to a different period of time.
UCC § 2-723 establishes the timeframe for bringing a lawsuit for a breach of sales contracts. Generally, you have four years from the date of the breach to file your claim unless the parties involved agree to a different deadline.
The reason or legal basis for which a party can bring a lawsuit.
The failure of one party to fulfill their contractual obligations.
A legal agreement for the sale of goods between a buyer and a seller.
Example 1
A seller fails to deliver goods as specified in the contract on January 1, 2020. The buyer discovers the breach on the delivery date and must file a lawsuit by January 1, 2024.
Example 2
If the parties agree in the contract to extend the time to file a lawsuit to six years instead of four years, the buyer now has until January 1, 2026, to file.