Michigan Compiled Laws

Mich. Comp. Laws § 440.2712 (2026)

Cover; procurement of substitute goods; buyer's damages.

✓ current as of July 2026

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UNIFORM COMMERCIAL CODE

Act 174 of 1962

440.2712 Cover; procurement of substitute goods; buyer's damages.

Sec. 2712.

(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.

History: 1962, Act 174, Eff. Jan. 1, 1964

Notes of Decisions

Cited in 7 cases, 1980–2016 · leading case: Kelsey-Hayes Co. v. Galtaco Redlaw Castings Corp., 749 F. Supp. 794 (E.D. Mich. 1990).

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Kelsey-Hayes Co. v. Galtaco Redlaw Castings Corp., 749 F. Supp. 794 (E.D. Mich. 1990). · cites it 3× “§ 440.2712 states: (1) After a breach within the preceding section the buyer may “cover” by making in good faith and without unreasonable delay and reasonable purchase or contract to purchase goods in substitution for those due from the seller.”

Eberspaecher North Am., Inc. v. Van-Rob, Inc., 544 F. Supp. 2d 592 (E.D. Mich. 2008). · cites it 2× “1990) (“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”) (citing Mich. Comp. Laws § 440.2712 (2)). Van-Rob states that ENA did not produce any evidence or…”

Horizon Lawn Maint., Inc. v. Columbus-Kenworth, Inc., 188 F. Supp. 3d 631 (E.D. Mich. 2016). · cites it 2× “) Both Section 2712 5 and Section 2714 6 expressly incorporate the definitions of “incidental” and “consequential” damages from Mich.”

Lorenz Supply Co. v. Am. Stand., Inc., 300 N.W.2d 335 (Mich. Ct. App. 1980). “MCL 440.2712; MSA 19.2712 provides in pertinent part: "(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…”

Mayco Plastics, Inc. v. TRW Veh. Saf. Sys., Inc. (In Re Mayco Plastics, Inc.), 389 B.R. 7 (Bankr. E.D. Mich. 2008). · cites it 5× “The remedy of “cover” is provided by Mich. Comp. Laws Ann. § 440.2712 , which reads as follows: (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…”

Gen. Motors Corp. v. Paramount Metal Prods. Co., 90 F. Supp. 2d 861 (E.D. Mich. 2000). “§ 440.2712. Id. at 799. Even assuming the reasoning of Kelsey-Hayes applies, notwithstanding that Ohio law controls the court’s assessment of the Accommodation Agreement, similar questions of fact remain in this lawsuit: (1) whether the plaintiffs signed the Accommodation…”

United Coin Meter Co. v. Lasala, 296 N.W.2d 221 (Mich. Ct. App. 1980). · cites it 2× “2711, and MCL 440.2712; MSA 19.2712. I find nothing unacceptable in defendants' actions herein under those sections.”

— Mich. Comp. Laws § 440.2712(2) — 1 case

Mayco Plastics, Inc. v. TRW Veh. Saf. Sys., Inc. (In Re Mayco Plastics, Inc.), 389 B.R. 7 (Bankr. E.D. Mich. 2008). “The remedy of “cover” is provided by Mich. Comp. Laws Ann. § 440.2712 , which reads as follows: (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…”

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