Fresh Grow Farm enters into a contract with Gourmand's Restaurant for a sale of a certain quantity of specified vegetables. After Fresh ships the produce but before Gourmand's receives it, the buyer declares bankruptcy. Fresh can stop delivery of the goods in transit
A)only if the quantity is at least 50 percent of the contract amount.
B)only if the quantity is in a single "unit."
C)only if the quantity is at least a truckload.
D)regardless of the quantity.

Question

Quizplus · Accepted Answer

Under the Uniform Commercial Code (UCC), a seller may stop delivery of goods in transit to the buyer upon learning that the buyer has declared bankruptcy, regardless of the quantity of goods being shipped. This right is designed to protect sellers from the risk of non-payment in the event of the buyer's insolvency.

Fresh Grow Farm Enters into a Contract with Gourmand's Restaurant