Chapter 810, COMMERCIAL CODE

(810 ILCS 5/2-304) (from Ch. 26, par. 2-304) Sec. 2-304. Price payable in money, goods, realty, or otherwise. (1) The price can be made payable in money or otherwise. If it is payable in whole or in part in goods each party is a seller of the goods which he is to transfer. (2) Ev…

(810 ILCS 5/2-305) (from Ch. 26, par. 2-305) Sec. 2-305. Open price term. (1) The parties if they so intend can conclude a contract for sale even though the price is not settled. In such a case the price is a reasonable price at the time for delivery if (a) nothing is said as to …

(810 ILCS 5/2-306) (from Ch. 26, par. 2-306) Sec. 2-306. Output, requirements and exclusive dealings. (1) A term which measures the quantity by the output of the seller or the requirements of the buyer means such actual output or requirements as may occur in good faith, except th…

(810 ILCS 5/2-307) (from Ch. 26, par. 2-307) Sec. 2-307. Delivery in single lot or several lots. Unless otherwise agreed all goods called for by a contract for sale must be tendered in a single delivery and payment is due only on such tender but where the circumstances give eithe…

(810 ILCS 5/2-308) (from Ch. 26, par. 2-308) Sec. 2-308. Absence of specified place for delivery. Unless otherwise agreed (a) the place for delivery of goods is the seller's place of business or if he has none his residence; but (b) in a contract for sale of identified goods whic…

(810 ILCS 5/2-309) (from Ch. 26, par. 2-309) Sec. 2-309. Absence of specific time provisions; notice of termination. (1) The time for shipment or delivery or any other action under a contract if not provided in this Article or agreed upon shall be a reasonable time. (2) Where the…

(810 ILCS 5/2-310) (from Ch. 26, par. 2-310) Sec. 2-310. Open time for payment or running of credit authority to ship under reservation. Unless otherwise agreed (a) payment is due at the time and place at which the buyer is to receive the goods even though the place of shipment i…

(810 ILCS 5/2-311) (from Ch. 26, par. 2-311) Sec. 2-311. Options and cooperation respecting performance. (1) An agreement for sale which is otherwise sufficiently definite (subsection (3) of Section 2-204 to be a contract is not made invalid by the fact that it leaves particulars…

(810 ILCS 5/2-312) (from Ch. 26, par. 2-312) Sec. 2-312. Warranty of title and against infringement; buyer's obligation against infringement. (1) Subject to subsection (2) there is in a contract for sale a warranty by the seller that (a) the title conveyed shall be good, and its …

(810 ILCS 5/2-313) (from Ch. 26, par. 2-313) Sec. 2-313. Express warranties by affirmation, promise, description, sample. (1) Express warranties by the seller are created as follows: (a) Any affirmation of fact or promise made by the seller to the buyer which relates to the goods…

(810 ILCS 5/2-314) (from Ch. 26, par. 2-314) Sec. 2-314. Implied warranty: merchantability; usage of trade. (1) Unless excluded or modified (Section 2-316), a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with re…

(810 ILCS 5/2-315) (from Ch. 26, par. 2-315) Sec. 2-315. Implied warranty: fitness for particular purpose. Where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller's skill or…

(810 ILCS 5/2-316) (from Ch. 26, par. 2-316) Sec. 2-316. Exclusion or modification of warranties. (1) Words or conduct relevant to the creation of an express warranty and words or conduct tending to negate or limit warranty shall be construed wherever reasonable as consistent wit…

(810 ILCS 5/2-317) (from Ch. 26, par. 2-317) Sec. 2-317. Cumulation and conflict of warranties express or implied. Warranties whether express or implied shall be construed as consistent with each other and as cumulative, but if such construction is unreasonable the intention of t…

(810 ILCS 5/2-318) (from Ch. 26, par. 2-318) Sec. 2-318. Third party beneficiaries of warranties express or implied. A seller's warranty whether express or implied extends to any natural person who is in the family or household of his buyer or who is a guest in his home if it is …

(810 ILCS 5/2-319) (from Ch. 26, par. 2-319) Sec. 2-319. F.O.B. and F.A.S. terms. (1) Unless otherwise agreed the term F.O.B. (which means "free on board") at a named place, even though used only in connection with the stated price, is a delivery term under which (a) when the ter…

(810 ILCS 5/2-320) (from Ch. 26, par. 2-320) Sec. 2-320. C.I.F. and C. & F. terms. (1) The term C.I.F. means that the price includes in a lump sum the cost of the goods and the insurance and freight to the named destination. The term C. & F. or C.F. means that the price so includ…

(810 ILCS 5/2-321) (from Ch. 26, par. 2-321) Sec. 2-321. C.I.F. or C. & F.: "net landed weights"; "payment on arrival"; warranty of condition on arrival. Under a contract containing a term C.I.F. or C. & F. (1) Where the price is based on or is to be adjusted according to "net la…

(810 ILCS 5/2-322) (from Ch. 26, par. 2-322) Sec. 2-322. Delivery "ex-ship". (1) Unless otherwise agreed a term for delivery of goods "ex-ship" (which means from the carrying vessel) or in equivalent language is not restricted to a particular ship and requires delivery from a shi…

(810 ILCS 5/2-323) (from Ch. 26, par. 2-323) Sec. 2-323. Form of bill of lading required in overseas shipment; "overseas". (1) Where the contract contemplates overseas shipment and contains a term C.I.F. or C. & F. or F.O.B. vessel, the seller unless otherwise agreed must obtain …

(810 ILCS 5/2-324) (from Ch. 26, par. 2-324) Sec. 2-324. "No arrival, no sale" term. Under a term "no arrival, no sale" or terms of like meaning, unless otherwise agreed, (a) the seller must properly ship conforming goods and if they arrive by any means he must tender them on arr…

(810 ILCS 5/2-325) (from Ch. 26, par. 2-325) Sec. 2-325. "Letter of credit" term; "confirmed credit". (1) Failure of the buyer seasonably to furnish an agreed letter of credit is a breach of the contract for sale. (2) The delivery to seller of a proper letter of credit suspends t…

(810 ILCS 5/2-326) (from Ch. 26, par. 2-326) Sec. 2-326. Sale on approval and sale or return; rights of creditors. (1) Unless otherwise agreed, if delivered goods may be returned by the buyer even though they conform to the contract, the transaction is (a) a "sale on approval" if…

(810 ILCS 5/2-327) (from Ch. 26, par. 2-327) Sec. 2-327. Special incidents of sale on approval and sale or return. (1) Under a sale on approval unless otherwise agreed (a) although the goods are identified to the contract the risk of loss and the title do not pass to the buyer un…

(810 ILCS 5/2-328) (from Ch. 26, par. 2-328) Sec. 2-328. Sale by auction. (1) In a sale by auction if goods are put up in lots each lot is the subject of a separate sale. (2) A sale by auction is complete when the auctioneer so announces by the fall of the hammer or in other cust…

(810 ILCS 5/2-401) (from Ch. 26, par. 2-401) Sec. 2-401. Passing of title; reservation for security; limited application of this Section. Each provision of this Article with regard to the rights, obligations and remedies of the seller, the buyer, purchasers or other third parties…

(810 ILCS 5/2-402) (from Ch. 26, par. 2-402) Sec. 2-402. Rights of seller's creditors against sold goods. (1) Except as provided in subsections (2) and (3), rights of unsecured creditors of the seller with respect to goods which have been identified to a contract for sale are sub…

(810 ILCS 5/2-403) (from Ch. 26, par. 2-403) Sec. 2-403. Power to transfer; good faith purchase of goods; "entrusting". (1) A purchaser of goods acquires all title which his transferor had or had power to transfer except that a purchaser of a limited interest acquires rights only…

(810 ILCS 5/2-501) (from Ch. 26, par. 2-501) Sec. 2-501. Insurable interest in goods; manner of identification of goods. (1) The buyer obtains a special property and an insurable interest in goods by identification of existing goods as goods to which the contract refers even thou…

(810 ILCS 5/2-502) (from Ch. 26, par. 2-502) Sec. 2-502. Buyer's right to goods on seller's insolvency. (1) Subject to subsections (2) and (3) and even though the goods have not been shipped a buyer who has paid a part or all of the price of goods in which he has a special proper…

(810 ILCS 5/2-503) (from Ch. 26, par. 2-503) Sec. 2-503. Manner of seller's tender of delivery. (1) Tender of delivery requires that the seller put and hold conforming goods at the buyer's disposition and give the buyer any notification reasonably necessary to enable him to take …

(810 ILCS 5/2-504) (from Ch. 26, par. 2-504) Sec. 2-504. Shipment by seller. Where the seller is required or authorized to send the goods to the buyer and the contract does not require him to deliver them at a particular destination, then unless otherwise agreed he must (a) put t…

(810 ILCS 5/2-505) (from Ch. 26, par. 2-505) Sec. 2-505. Seller's shipment under reservation. (1) Where the seller has identified goods to the contract by or before shipment: (a) his procurement of a negotiable bill of lading to his own order or otherwise reserves in him a securi…

(810 ILCS 5/2-506) (from Ch. 26, par. 2-506) Sec. 2-506. Rights of financing agency. (1) A financing agency by paying or purchasing for value a draft which relates to a shipment of goods acquires to the extent of the payment or purchase and in addition to its own rights under the…

(810 ILCS 5/2-507) (from Ch. 26, par. 2-507) Sec. 2-507. Effect of seller's tender; delivery on condition. (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 accept…

(810 ILCS 5/2-508) (from Ch. 26, par. 2-508) Sec. 2-508. Cure by seller of improper tender or delivery; replacement. (1) Where any tender or delivery by the seller is rejected because non-conforming and the time for performance has not yet expired, the seller may seasonably notif…

(810 ILCS 5/2-509) (from Ch. 26, par. 2-509) Sec. 2-509. Risk of loss in the absence of breach. (1) Where the contract requires or authorizes the seller to ship the goods by carrier (a) if it does not require him to deliver them at a particular destination, the risk of loss passe…

(810 ILCS 5/2-510) (from Ch. 26, par. 2-510) Sec. 2-510. Effect of breach on risk of loss. (1) Where a tender or delivery of goods so fails to conform to the contract as to give a right of rejection the risk of their loss remains on the seller until cure or acceptance. (2) Where …

(810 ILCS 5/2-511) (from Ch. 26, par. 2-511) Sec. 2-511. Tender of payment by buyer; payment by check. (1) Unless otherwise agreed tender of payment is a condition to the seller's duty to tender and complete any delivery. (2) Tender of payment is sufficient when made by any means…

(810 ILCS 5/2-512) (from Ch. 26, par. 2-512) Sec. 2-512. Payment by buyer before inspection. (1) Where the contract requires payment before inspection non-conformity of the goods does not excuse the buyer from so making payment unless (a) the non-conformity appears without inspec…

(810 ILCS 5/2-513) (from Ch. 26, par. 2-513) Sec. 2-513. Buyer's right to inspection of goods. (1) Unless otherwise agreed and subject to subsection (3), where goods are tendered or delivered or identified to the contract for sale, the buyer has a right before payment or acceptan…

(810 ILCS 5/2-514) (from Ch. 26, par. 2-514) Sec. 2-514. When documents deliverable on acceptance; when on payment. Unless otherwise agreed documents against which a draft is drawn are to be delivered to the drawee on acceptance of the draft if it is payable more than 3 days afte…

(810 ILCS 5/2-515) (from Ch. 26, par. 2-515) Sec. 2-515. Preserving evidence of goods in dispute. In furtherance of the adjustment of any claim or dispute (a) either party on reasonable notification to the other and for the purpose of ascertaining the facts and preserving evidenc…

(810 ILCS 5/2-601) (from Ch. 26, par. 2-601) Sec. 2-601. Buyer's rights on improper delivery. Subject to the provisions of this Article on breach in installment contracts (Section 2-612) and unless otherwise agreed under the sections on contractual limitations of remedy (Sections…

(810 ILCS 5/2-602) (from Ch. 26, par. 2-602) Sec. 2-602. Manner and effect of rightful rejection. (1) Rejection of goods must be within a reasonable time after their delivery or tender. It is ineffective unless the buyer seasonably notifies the seller. (2) Subject to the provisio…

(810 ILCS 5/2-603) (from Ch. 26, par. 2-603) Sec. 2-603. Merchant buyer's duties as to rightfully rejected goods. (1) Subject to any security interest in the buyer (subsection (3) of Section 2-711, when the seller has no agent or place of business at the market of rejection a mer…

(810 ILCS 5/2-604) (from Ch. 26, par. 2-604) Sec. 2-604. Buyer's options as to salvage of rightfully rejected goods. Subject to the provisions of the immediately preceding section on perishables if the seller gives no instructions within a reasonable time after notification of re…

(810 ILCS 5/2-605) (from Ch. 26, par. 2-605) Sec. 2-605. Waiver of buyer's objections by failure to particularize. (1) The buyer's failure to state in connection with rejection a particular defect which is ascertainable by reasonable inspection precludes him from relying on the u…

(810 ILCS 5/2-606) (from Ch. 26, par. 2-606) Sec. 2-606. What constitutes acceptance of goods. (1) Acceptance of goods occurs when the buyer (a) after a reasonable opportunity to inspect the goods signifies to the seller that the goods are conforming or that he will take or retai…

(810 ILCS 5/2-607) (from Ch. 26, par. 2-607) Sec. 2-607. Effect of acceptance; notice of breach; burden of establishing breach after acceptance; notice of claim or litigation to person answerable over. (1) The buyer must pay at the contract rate for any goods accepted. (2) Accept…