§ 26-1-2-106 — "Contract"; "agreement"; "contract for sale"; "sale"; "present sale"; "conforming" to contract; "termination"; "cancellation"; "hybrid transaction"

(1) In IC 26-1-2, 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 (IC 26-1-2-401). 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 of any unperformed balance.
(5) "Hybrid transaction" means a single transaction involving a sale
of goods and:
(a) the provision of services;
(b) a lease of other goods; or
(c) a sale, lease, or license of property other than goods.
Formerly: Acts 1963, c.317, s.2-106. As amended by
P.L.152-1986, SEC.124; P.L.199-2023, SEC.4.