Under the UCC 2, when is modification enforceable without separate consideration?

Prepare for the New York Multistate Bar Exam with comprehensive study resources. Access multiple-choice questions, detailed explanations, and exam tips to boost your preparation and confidence.

Multiple Choice

Under the UCC 2, when is modification enforceable without separate consideration?

Explanation:
Under the UCC for selling goods, a contract modification does not require new consideration to be enforceable as long as the modification is made in good faith. The emphasis on good faith means the parties genuinely agreed to the change and didn’t circumvent essential contract terms. The idea of “between merchants” highlights the typical commercial context where such mutual, good-faith modifications are routinely enforced without new consideration. Remember, even though no separate consideration is needed, the modified agreement must still satisfy the Statute of Frauds in writing if the modified contract falls within its scope.

Under the UCC for selling goods, a contract modification does not require new consideration to be enforceable as long as the modification is made in good faith. The emphasis on good faith means the parties genuinely agreed to the change and didn’t circumvent essential contract terms. The idea of “between merchants” highlights the typical commercial context where such mutual, good-faith modifications are routinely enforced without new consideration. Remember, even though no separate consideration is needed, the modified agreement must still satisfy the Statute of Frauds in writing if the modified contract falls within its scope.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy