UNIFORM COMMERCIAL CODE
Act 174 of 1962
440.2615 Failure of presupposed conditions; nondelivery, partial delivery, excuse.
Sec. 2615.
Except so far as a seller may have assumed a greater obligation and subject to the preceding section on substituted performance:
(a) Delay in delivery or nondelivery in whole or in part by a seller who complies with paragraphs (b) and (c) is not a breach of his duty under a contract for sale if performance as agreed has been made impracticable by the occurrence of a contingency the nonoccurrence of which was a basic assumption on which the contract was made or by compliance in good faith with any applicable foreign or domestic governmental regulation or order whether or not it later proves to be invalid.
(b) Where the causes mentioned in paragraph (a) affect only a part of the seller's capacity to perform, he must allocate production and deliveries among his customers but may at his option include regular customers not then under contract as well as his own requirements for further manufacture. He may so allocate in any manner which is fair and reasonable.
(c) The seller must notify the buyer seasonably that there will be delay or nondelivery and, when allocation is required under paragraph (b), of the estimated quota thus made available for the buyer.
History: 1962, Act 174, Eff. Jan. 1, 1964
Notes of Decisions
Hemlock Semiconductor Operations, LLC v. SolarWorld Indus. Sachsen GmbH, 867 F.3d 692 (6th Cir. 2017).
“24, 2006) (citing Mich. Comp. Laws § 440.2615 cmt. 4 (“Neither is a rise or a collapse in the market itself a justification [for asserting the impracticability defense], for that is exactly the type of business risk which business contracts made at fixed prices are intended to…”
Walter Toebe & Co. v. Receiver of F Yeager Bridge & Culvert Co., 389 N.W.2d 99 (Mich. Ct. App. 1986).
· cites it 2× “2615(b) requires a seller to allocate deliveries among customers in a fair and reasonable manner. In this case Yeager admittedly had already surpassed its steel quota when the subcontracts were negotiated.”
Michigan Bean Co. v. Senn, 287 N.W.2d 257 (Mich. Ct. App. 1979).
“On remand, if the trier of fact finds the agreements to be grower’s contracts, then whether defendant’s performance can be excused under MCL 440.2615; MSA 19.2615 is also a factual question.”
Steel Indus., Inc. v. Interlink Metals & Chemicals, Inc., 969 F. Supp. 1046 (E.D. Mich. 1997).
· cites it 2× “The same result would be manifest under the law of force majeure and/or the Restatement (Second) of Contracts or Uniform Commercial Code’s doctrines of impracticability, Mich. Comp Laws § 440.2615. . This court need not reach the issue of whether the Mill has the ability to…”
Texaco, Inc. v. Clifton, 274 N.W.2d 486 (Mich. Ct. App. 1978).
“This conclusion is also supported by MCL 440.2615; MSA 19.2615, since the trial court found that Texaco did not assume a greater obligation requiring it to violate the mandatory Federal regulations, see also, Terry v Atlantic Richfield Co, 72 Cal App 3d 962; 140 Cal Rptr 510…”
— Mich. Comp. Laws § 440.2615(b) — 1 case
Annotations are extracted automatically from the opinions in the
Syfert caselaw corpus and ranked by authority, recency, and
treatment. Dots show Syfertize treatment of the citing case itself.