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84-2-504. Shipment by seller. Where the seller is required or authorized to send the goods to the buyer and the contract does not require him to deliver them at a particular destination, then unless otherwise agreed he must

(a) put the goods in the possession of such a carrier and make such a contract for their transportation as may be reasonable having regard to the nature of the goods and other circumstances of the case; and

(b) obtain and promptly deliver or tender in due form any document necessary to enable the buyer to obtain possession of the goods or otherwise required by the agreement or by usage of trade; and

(c) promptly notify the buyer of the shipment. Failure to notify the buyer under paragraph (c) or to make a proper contract under paragraph (a) is a ground for rejection only if material delay or loss ensues.

History: L. 1965, ch. 564, § 69; January 1, 1966.

KANSAS COMMENT, 1996

1. This section states the seller's tender obligations under shipment contracts, such as those involving shipment "F.O.B. point of shipment," "C.I.F.," "C. &F.," and the like. Under paragraph (a), the seller must put the goods in the possession of a carrier and make a proper contract for their transportation, considering the nature of the goods (such as whether they need refrigeration) and the like. Under paragraph (b), the seller must deliver to the buyer any documents needed to enable the buyer to pick up the goods. Finally, under paragraph (c), the seller must promptly notify the buyer of the shipment. Sending an invoice should ordinarily provide sufficient notice.

2. The final sentence of this section mitigates the harshness of the otherwise strict tender requirements. The seller's failure to comply with either paragraph (a) or paragraph (c) constitutes a ground for rejecting the shipment only if the failure results in material loss or delay.

Law Review and Bar Journal References:

"The Buyer's Right to Return Unsatisfactory Goods—The Uniform Commercial Code Remedies of Rejection and Revocation of Acceptance," George I. Wallach, 20 W.L.J. 20, 23 (1980).

"Electronic Commerce in Kansas: Contract Formation and Formalities Under Article 2," Christopher R. Drahozal, 68 J.K.B.A. No. 5, 22 (1999).


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