What does the Uniform Commercial Code govern?

What does the Uniform Commercial Code govern?

Summary. The Uniform Commercial Code (UCC) is a comprehensive set of laws governing all commercial transactions in the United States. It is not a federal law, but a uniformly adopted state law. Uniformity of law is essential in this area for the interstate transaction of business.

Who for the purposes of UCC Article 2 is a merchant?

UCC 2-104(1) defines a merchant as “a person who deals in goods of the kind or otherwise by his occupation holds himself out as having knowledge or skill peculiar to the practices or goods involved in the transaction or to whom such knowledge or skill may be attributed by his employment of an agent or broker or other …

What is not covered under the UCC?

Basically, the broad categories that are not covered are transactions involving the sale of real estate, transactions involving the sale of businesses (although other articles of the UCC can and will apply), and transactions involving “intangibles, such as goodwill, patents, trademarks, and copyrights.”

Who does the UCC protect?

The Uniform Commercial Code (UCC), which has been adopted in most states, is a comprehensive body of laws governing uniformity and fair dealing with transactions. It provides remedies and rights for both the buyer and seller.

What UCC 1 308?

UCC 1-308 states: A party that with explicit reservation of rights performs or promises performance or assents to performance in a manner demanded or offered by the other party does not thereby prejudice the rights reserved. Such words as “without prejudice,” “under protest,” or the like are sufficient.

What are the benefits after filing a UCC 1?

What are the benefits after filing a UCC-1. A state or county UCC section allows you to give public notice that you, as a creditor or secured party, have entered into a security agreement with a debtor, along with a description of the collateral involved.

What is a UCC 1 308?

§ 1-308. Download. Section 1-308 – Performance or acceptance under reservation of rights (a) A party that with explicit reservation of rights performs or promises performance or assents to performance in a manner demanded or offered by the other party does not thereby prejudice the rights reserved.

What makes a person a merchant under UCC?

“Merchant” is defined under the UCC as “a person who deals in goods of the kind or otherwise by his occupation holds himself out as having knowledge or skill peculiar to the practices or goods involved in the transaction or to whom such knowledge or skill may be attributed…”

Who is not a merchant under UCC?

U.C.C. § 2-104, comment 2, states: “(A] lawyer or bank president buying fishing tackle for his own use is not a merchant.” This comment suggests that a person can be a merchant with respect to some transactions and not others.

What types of contracts does the UCC cover?

The Uniform Commercial Code (UCC) contains rules applying to many types of commercial contracts, including contracts related to the sale of goods, leasing of goods, use of negotiable instruments, banking transactions, letters of credit, documents of title for goods, investment securities, and secured transactions.

Does UCC apply to loans?

The UCC articles govern various types of transactions, including banking and loans.

What does filing a UCC 1 do for you?

Filing a UCC-1 allows creditors to collateralize or “secure” their loan by utilizing the personal property assets of their customers. In the event of the customer defaulting on their loan or filing for bankruptcy, a UCC-1 elevates the lender’s status to a secured creditor, ensuring they will be paid.