Tennessee Code Annotated
Tenn. Code Ann. § 47-2-507 (2026)
Effect of seller's tender - Delivery on condition
✓ current as of May 2026
- (1) Tender of delivery is a condition to the buyer's duty to accept the goods and, unless otherwise agreed, to his duty to pay for them. Tender entitles the seller to acceptance of the goods and to payment according to the contract.
- (2) Where payment is due and demanded on the delivery to the buyer of goods or documents of title, his right as against the seller to retain or dispose of them is conditional upon his making the payment due.
Acts 1963, ch. 81, § 1 (2-507).
Notes of Decisions
Cited in 7
cases, 1982–2011 · leading case: Prod. Steel, Inc. v. Sumitomo Corp. of Am. (In Re Prod. Steel, Inc.), 54 B.R. 417 (Bankr. M.D. Tenn. 1985).
Prod. Steel, Inc. v. Sumitomo Corp. of Am. (In Re Prod. Steel, Inc.), 54 B.R. 417 (Bankr. M.D. Tenn. 1985). “This “insurable interest” is separate and distinct from the duty to pay which arises upon delivery and acceptance (unless the contract provides otherwise).”
John P. Saad & Sons, Inc. v. Nashville Thermal Transfer Corp., 715 S.W.2d 41 (Tenn. 1986). “§ 47-2-503 (Manner of seller’s tender of delivery); T.C.A. § 47-2-507 (Effect of seller’s tender).”
North Georgia Toyota v. Jahn (In Re Tom Woods Used Cars, Inc.), 24 B.R. 529 (Bankr. E.D. Tenn. 1982). “Furthermore, the court believes it is appropriate to require both credit and cash sellers to demand return of the goods within ten days after delivery to the buyer or lose the right to reclaim against' a third party, such as the trustee, who has acquired an interest in the goods…”
Roach v. Edge (In Re Edge), 60 B.R. 690 (Bankr. M.D. Tenn. 1986). “§ 47-2-507(1) (Michie 1979). This court has been unable to find a Tennessee *697 statute or decision employing the phrase “right to payment” in any helpful context.”
In Re the Julien Co., Debtor. Oakland Gin Co., Inc. v. Jack Marlow, Tr. for the Julien Co., 44 F.3d 426 (6th Cir. 1995). “1982); Tenn. Code Ann. § 47-2-507 (2). The contracts required Oakland to draw a draft of the Julien Co.”
In Re Microwave Prods. of Am., Inc., 94 B.R. 967 (Bankr. W.D. Tenn. 1989). “Section 2-507(2) has been enacted in Tennessee as T.C.A. 47-2-507(2). See also, Official Comment 3 to section 2-507.”
Claybrook v. AutoZone Texas, L.P. (In Re Am. Remanufacturers, Inc.), 451 B.R. 349 (Bankr. D. Del. 2011). “After a seller tenders conforming goods, “the buyer has a positive duty to accept and his failure to do so constitutes a ‘wrongful rejection’ which gives the seller immediate remedies for breach.” Id.”
— Tenn. Code Ann. § 47-2-507(1) — 3 cases
Prod. Steel, Inc. v. Sumitomo Corp. of Am. (In Re Prod. Steel, Inc.), 54 B.R. 417 (Bankr. M.D. Tenn. 1985). “This “insurable interest” is separate and distinct from the duty to pay which arises upon delivery and acceptance (unless the contract provides otherwise).”
Roach v. Edge (In Re Edge), 60 B.R. 690 (Bankr. M.D. Tenn. 1986). “§ 47-2-507(1) (Michie 1979). This court has been unable to find a Tennessee *697 statute or decision employing the phrase “right to payment” in any helpful context.”
Claybrook v. AutoZone Texas, L.P. (In Re Am. Remanufacturers, Inc.), 451 B.R. 349 (Bankr. D. Del. 2011). “After a seller tenders conforming goods, “the buyer has a positive duty to accept and his failure to do so constitutes a ‘wrongful rejection’ which gives the seller immediate remedies for breach.” Id.”
— Tenn. Code Ann. § 47-2-507(2) — 2 cases
North Georgia Toyota v. Jahn (In Re Tom Woods Used Cars, Inc.), 24 B.R. 529 (Bankr. E.D. Tenn. 1982). “Furthermore, the court believes it is appropriate to require both credit and cash sellers to demand return of the goods within ten days after delivery to the buyer or lose the right to reclaim against' a third party, such as the trustee, who has acquired an interest in the goods…”
In Re Microwave Prods. of Am., Inc., 94 B.R. 967 (Bankr. W.D. Tenn. 1989). “Section 2-507(2) has been enacted in Tennessee as T.C.A. 47-2-507(2). See also, Official Comment 3 to section 2-507.”
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.