A seller who tenders nonconforming goods with a price allowance has reasonable grounds to believe that the buyer will accept the tender.

Question

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Under the Uniform Commercial Code (UCC), if a seller tenders goods that are nonconforming but offers a price allowance (discount) to compensate for the nonconformity, it is generally considered that the seller has reasonable grounds to believe the buyer will accept the tender. This is because the price allowance may make the nonconforming goods acceptable to the buyer despite the nonconformity.

A Seller Who Tenders Nonconforming Goods with a Price Allowance