Burgers Inc. contracts to buy five hundred head of cattle from Cattle Ranch. Before the seller delivers, an outbreak of disease causes a quarantine of the ranch. In this circumstance, the perfect tender rule
A)applies to both parties.
B)no longer applies.
C)applies only to the buyer.
D)applies only to the seller.

Question

Quizplus · Accepted Answer

The perfect tender rule no longer applies because an unforeseen event (the outbreak of disease causing a quarantine) has made it impossible for the seller to perform as originally agreed. This rule typically requires the seller to deliver goods that conform exactly to the terms of the contract, but exceptions are made for circumstances beyond the seller's control.