(A) A contract for sale imposes an obligation on each party that the other's expectation
of receiving due performance will not be impaired. When reasonable grounds for insecurity arise with respect to the performance of
either party, the other may in writing demand adequate assurance of due performance
and until he receives such assurance may if commercially reasonable suspend any performance
for which he has not already received the agreed return.
(B) Between merchants the reasonableness of grounds for insecurity and the adequacy
of any assurance offered shall be determined according to commercial standards.
(C) Acceptance of any improper delivery or payment does not prejudice the aggrieved
party's right to demand adequate assurance of future performance.
(D) After receipt of a justified demand failure to provide within a reasonable time
not exceeding thirty days such assurance of due performance as is adequate under the
circumstances of the particular case is a repudiation of the contract.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
Was this helpful?
Response sent, thank you
Welcome to FindLaw's Cases & Codes
A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw's Learn About the Law.