Title 8

NRS 104.2506 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 draft and any document of title securing it …

NRS 104.2507 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 the buyer’s duty to pay for them. Tender entitles the seller to acceptance of the goods and to payment acco…

NRS 104.2508 Cure by seller of improper tender or delivery; replacement. 1. Where any tender or delivery by the seller is rejected because nonconforming and the time for performance has not yet expired, the seller may seasonably notify the buyer of his or her intention to cure an…

NRS 104.2509 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 the seller to deliver them at a particular destination, the risk of loss passes to the buyer when the goods are dul…

NRS 104.2510 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 the buyer rightfully revokes acceptance the bu…

NRS 104.2511 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 or in any manner current in the ordinary cour…

NRS 104.2512 Payment by buyer before inspection. 1. Where the contract requires payment before inspection nonconformity of the goods does not excuse the buyer from so making payment unless: (a) The nonconformity appears without inspection; or (b) Despite tender of the required do…

NRS 104.2513 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 acceptance to inspect them at any reasonable place and …

NRS 104.2514 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 after presentment; otherwise, only on payment. (…

NRS 104.2515 Preserving evidence of goods in dispute. In furtherance of the adjustment of any claim or dispute: 1. Either party on reasonable notification to the other and for the purpose of ascertaining the facts and preserving evidence has the right to inspect, test and sample …

NRS 104.2601 Buyer’s rights on improper delivery. Subject to the provisions of this article on breach in installment contracts (NRS 104.2612) and unless otherwise agreed under the sections on contractual limitations of remedy (NRS 104.2718 and 104.2719), if the goods or the tende…

NRS 104.2602 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 provisions of the two following sections on rejected g…

NRS 104.2603 Merchant buyer’s duties as to rightfully rejected goods. 1. Subject to any security interest in the buyer (subsection 3 of NRS 104.2711), when the seller has no agent or place of business at the market of rejection a merchant buyer is under a duty after rejection of …

NRS 104.2604 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 rejection the buyer may store the rejected goo…

NRS 104.2605 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 the buyer from relying on the unstated defect to justify rejection or …

NRS 104.2606 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 the buyer will take or retain them in spite of their nonconformit…

NRS 104.2607 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. Acceptance of goods by the buyer precludes rejection…

NRS 104.2608 Revocation of acceptance in whole or in part. 1. The buyer may revoke his or her acceptance of a lot or commercial unit whose nonconformity substantially impairs its value to the buyer if the buyer has accepted it: (a) On the reasonable assumption that its nonconform…

NRS 104.2609 Right to adequate assurance of performance. 1. A contract for sale imposes an obligation on each party that the other’s expectation of receiving due performance will not be impaired. When reasonable grounds for insecurity arise with respect to the performance of eith…

NRS 104.2610 Anticipatory repudiation. When either party repudiates the contract with respect to a performance not yet due the loss of which will substantially impair the value of the contract to the other, the aggrieved party may: 1. For a commercially reasonable time await perf…

NRS 104.2611 Retraction of anticipatory repudiation. 1. Until the repudiating party’s next performance is due the repudiating party can retract his or her repudiation unless the aggrieved party has since the repudiation cancelled or materially changed his or her position or other…

NRS 104.2612 “Installment contract”; breach. 1. An “installment contract” is one which requires or authorizes the delivery of goods in separate lots to be separately accepted, even though the contract contains a clause “each delivery is a separate contract” or its equivalent. 2. …

NRS 104.2613 Casualty to identified goods. Where the contract requires for its performance goods identified when the contract is made, and the goods suffer casualty without fault of either party before the risk of loss passes to the buyer, or in a proper case under a “no arrival,…

NRS 104.2614 Substituted performance. 1. Where without fault of either party the agreed berthing, loading or unloading facilities fail or an agreed type of carrier becomes unavailable or the agreed manner of delivery otherwise becomes commercially impracticable but a commercially…

NRS 104.2615 Excuse by failure of presupposed conditions. Except so far as a seller may have assumed a greater obligation and subject to the preceding section on substituted performance: 1. Delay in delivery or nondelivery in whole or in part by a seller who complies with subsect…

NRS 104.2616 Procedure on notice claiming excuse. 1. Where the buyer receives notification of a material or indefinite delay or an allocation justified under the preceding section the buyer may by written notification to the seller as to any delivery concerned, and where the pros…

NRS 104.2701 Remedies for breach of collateral contracts not impaired. Remedies for breach of any obligation or promise collateral or ancillary to a contract for sale are not impaired by the provisions of this article. (Added to NRS by 1965, 810)

NRS 104.2702 Seller’s remedies on discovery of buyer’s insolvency. 1. Where the seller discovers the buyer to be insolvent the seller may refuse delivery except for cash including payment for all goods theretofore delivered under the contract, and stop delivery under this Article…

NRS 104.2703 Seller’s remedies in general. Where the buyer wrongfully rejects or revokes acceptance of goods or fails to make a payment due on or before delivery or repudiates with respect to a part or the whole, then with respect to any goods directly affected and, if the breach…

NRS 104.2704 Seller’s right to identify goods to contract notwithstanding breach or to salvage unfinished goods. 1. An aggrieved seller under the preceding section may: (a) Identify to the contract conforming goods not already identified if at the time he or she learned of the br…

NRS 104.2705 Seller’s stoppage of delivery in transit or otherwise. 1. The seller may stop delivery of goods in the possession of a carrier or other bailee when the seller discovers the buyer to be insolvent (NRS 104.2702) and may stop delivery of carload, truckload, planeload or…

NRS 104.2706 Seller’s resale including contract for resale. 1. Under the conditions stated in NRS 104.2703 on seller’s remedies, the seller may resell the goods concerned or the undelivered balance thereof. Where the resale is made in good faith and in a commercially reasonable m…

NRS 104.2707 “Person in the position of a seller.” 1. A “person in the position of a seller” includes as against a principal an agent who has paid or become responsible for the price of goods on behalf of his or her principal or anyone who otherwise holds a security interest or o…

NRS 104.2708 Seller’s damages for nonacceptance or repudiation. 1. Subject to subsection 2 and to the provisions of this Article with respect to proof of market price (NRS 104.2723), the measure of damages for nonacceptance or repudiation by the buyer is the difference between th…

NRS 104.2709 Action for price. 1. When the buyer fails to pay the price as it becomes due the seller may recover, together with any incidental damages under the next section, the price: (a) Of goods accepted or of conforming goods lost or damaged within a commercially reasonable …

NRS 104.2710 Seller’s incidental damages. Incidental damages to an aggrieved seller include any commercially reasonable charges, expenses or commissions incurred in stopping delivery, in the transportation, care and custody of goods after the buyer’s breach, in connection with re…

NRS 104.2711 Buyer’s remedies in general; buyer’s security interest in rejected goods. 1. Where the seller fails to make delivery or repudiates or the buyer rightfully rejects or justifiably revokes acceptance then with respect to any goods involved, and with respect to the whole…

NRS 104.2712 “Cover”; buyer’s procurement of substitute goods. 1. After a breach within the preceding section the buyer may “cover” by making in good faith and without unreasonable delay any reasonable purchase of or contract to purchase goods in substitution for those due from t…

NRS 104.2713 Buyer’s damages for nondelivery or repudiation. 1. Subject to the provisions of this Article with respect to proof of market price (NRS 104.2723), the measure of damages for nondelivery or repudiation by the seller is the difference between the market price at the ti…

NRS 104.2714 Buyer’s damages for breach in regard to accepted goods. 1. Where the buyer has accepted goods and given notification (subsection 3 of NRS 104.2607) the buyer may recover as damages for any nonconformity of tender the loss resulting in the ordinary course of events fr…

NRS 104.2715 Buyer’s incidental and consequential damages. 1. Incidental damages resulting from the seller’s breach include expenses reasonably incurred in inspection, receipt, transportation and care and custody of goods rightfully rejected, any commercially reasonable charges, …

NRS 104.2716 Buyer’s right to specific performance or replevin. 1. Specific performance may be decreed where the goods are unique or in other proper circumstances. 2. The decree for specific performance may include such terms and conditions as to payment of the price, damages or …

NRS 104.2717 Deduction of damages from the price. The buyer on notifying the seller of his or her intention to do so may deduct all or any part of the damages resulting from any breach of the contract from any part of the price still due under the same contract. (Added to NRS by …

NRS 104.2718 Liquidation or limitation of damages; deposits. 1. Damages for breach by either party may be liquidated in the agreement but only at an amount which is reasonable in the light of the anticipated or actual harm caused by the breach, the difficulties of proof of loss, …

NRS 104.2719 Contractual modification or limitation of remedy. 1. Subject to the provisions of subsections 2 and 3 of this section and of the preceding section on liquidation and limitation of damages: (a) The agreement may provide for remedies in addition to or in substitution f…

NRS 104.2720 Effect of “cancellation” or “rescission” on claims for antecedent breach. Unless the contrary intention clearly appears, expressions of “cancellation” or “rescission” of the contract or the like shall not be construed as a renunciation or discharge of any claim in da…