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Cal. Commercial Code § 2712 (2026)

✓ current as of May 2026
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(1)After a breach within the preceding section the buyer may “cover” by making in good faith and without unreasonable delay any reasonable purchase of or contract to purchase goods in substitution for those due from the seller.

(2)The buyer may recover from the seller as damages the difference between the cost of cover and the contract price together with any incidental or consequential damages as hereinafter defined (Section 2715), but less expenses saved in consequence of the seller’s breach.

(3)Failure of the buyer to effect cover within this section does not bar him from any other remedy.

Notes of Decisions
Cited in 5 cases (3 in the last 5 years), 1971–2024 · leading case: Gerwin v. Se. California Ass'n of Seventh Day Adventists, 8 U.C.C. Rep. Serv. (West) 643 (Cal. Ct. App. 1971).
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Gerwin v. Se. California Ass'n of Seventh Day Adventists, 8 U.C.C. Rep. Serv. (West) 643 (Cal. Ct. App. 1971). · cites it 2× “(Com. Code, § 2712.) If the buyer elects not to “cover,” he may sue for breach in which event the measure of damages is the difference between market price and the contract price (Com.”
Diamondstar Ent. Holdings, LLC v. THH LLC (C.D. Cal. 2022). “” Cal. Com. Code § 2712 (1)-(2). The buyer may also recover 2 incidental and consequential damages, id.”
Baltimore Aircoil Co., Inc. v. Solitaire Overseas (E.D. Cal. 2024). “See Cal. Com. Code §§ 2712 , 2715 16 (“Incidental damages resulting from the seller’s breach include expenses reasonably incurred in 17 inspection, receipt, transportation and care and custody of goods rightfully rejected, any 18 commercially reasonable charges, expenses or…”
Nuguid v. Mercedes-Benz USA, LLC (S.D. Cal. 2021). “CAL. COMM. CODE § 2712. However, Plaintiff does not allege 10 he purchased a replacement Vehicle, and thus, he would not be entitled to the cost of cover, 11 only the “entire purchase price” of his original Vehicle.”
Aureal, Inc. v. I/O Magic Corp. (In Re Aureal, Inc.), 279 B.R. 573 (Bankr. N.D. Cal. 2002). “” Cal. Comm.Code § 2712(1), (2). When it concluded that § 2719(3) permitted a party to enforce this damage exclusion provision at issue, the Sofia Group court overlooked the fact that § 2719(3) only applies to “consequential damages.”
— Cal. Commercial Code § 2712(1) — 1 case
Aureal, Inc. v. I/O Magic Corp. (In Re Aureal, Inc.), 279 B.R. 573 (Bankr. N.D. Cal. 2002). “” Cal. Comm.Code § 2712(1), (2). When it concluded that § 2719(3) permitted a party to enforce this damage exclusion provision at issue, the Sofia Group court overlooked the fact that § 2719(3) only applies to “consequential damages.”
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