Arkansas Code Annotated
Ark. Code Ann. § 4-2-704 (2026)
Seller's right to identify goods to the contract notwithstanding breach or to salvage unfinished goods
✓ current as of May 2026
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An aggrieved seller under the preceding section may
- identify to the contract conforming goods not already identified if at the time he learned of the breach they are in his possession or control;
- treat as the subject of resale goods which have demonstrably been intended for the particular contract even though those goods are unfinished.
(2) Where the goods are unfinished an aggrieved seller may in the exercise of reasonable commercial judgment for the purposes of avoiding loss and of effective realization either complete the manufacture and wholly identify the goods to the contract or cease manufacture and resell for scrap or salvage value or proceed in any other reasonable manner.
History. Acts 1961, No. 185, § 2-704; A.S.A. 1947, § 85-2-704.
Notes of Decisions
Cited in 1
case, 1994–1994 · leading case: Cargill, Inc. v. Storms Agri Enter., Inc., 878 S.W.2d 786 (Ark. Ct. App. 1994).
Cargill, Inc. v. Storms Agri Enter., Inc., 878 S.W.2d 786 (Ark. Ct. App. 1994). “or breach (§ 4-2-703 or § 4-2-711), even though he has notified the repudiating party that he would await the latter's performance and has urged retraction; and (c) In either case suspend his own performance or proceed in accordance with the provisions of this chapter on the…”
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