Sec. 42a-2-106. Definitions: "Contract"; "agreement"; "contract for sale"; "sale"; "present sale"; "conforming" to contract; "terminati
Sec. 42a-2-106. Definitions: "Contract"; "agreement"; "contract for sale";
"sale"; "present sale"; "conforming" to contract; "termination"; "cancellation".
(1) In this article unless the context otherwise requires "contract" and "agreement" are
limited to those relating to the present or future sale of goods. "Contract for sale" includes
both a present sale of goods and a contract to sell goods at a future time. A "sale" consists
in the passing of title from the seller to the buyer for a price as provided by section
42a-2-401. A "present sale" means a sale which is accomplished by the making of the
contract.
(2) Goods or conduct including any part of a performance are "conforming" or
conform to the contract when they are in accordance with the obligations under the
contract.
(3) "Termination" occurs when either party pursuant to a power created by
agreement or law puts an end to the contract otherwise than for its breach. On "termination" all obligations which are still executory on both sides are discharged but any right
based on prior breach or performance survives.
(4) "Cancellation" occurs when either party puts an end to the contract for breach
by the other and its effect is the same as that of "termination" except that the cancelling
party also retains any remedy for breach of the whole contract or any unperformed
balance.
(1959, P.A. 133, S. 2-106.)
Annotations to former statute (1958 Rev., S. 42-4):
Contract to sell goods to be manufactured is a contract of sale. 98 C. 563. A provision by which title to equipment
placed on car by vendee will pass to vendor is contract for sale of future goods and valid under this act. 115 C. 191.
Annotations to present section:
Cited. 163 C. 62. Cited. 214 C. 444.
Cited. 25 CS 111.
Subsec. (1):
Cited. 183 C. 266.
Cited. 26 CS 221. Cited. 37 CS 735.