§ 26-1-2-607 — Effect of acceptance; notice of breach; burden of establishing breach after acceptance; notice of claim or litigation to person answerable over

Indiana § 26-1-2-607

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 2: Sales

Text

(1) The buyer must pay at the contract rate
for any goods accepted.
(2) Acceptance of goods by the buyer precludes rejection of the
goods accepted, and if made with knowledge of a nonconformity
cannot be revoked because of it unless the acceptance was on the
reasonable assumption that the nonconformity would be seasonably
cured, but acceptance does not of itself impair any other remedy
provided by IC 26-1-2 for nonconformity.
(3) Where a tender has been accepted:
(a) the buyer must, within a reasonable time after he discovers or
should have discovered any breach, notify the seller of breach or
be barred from any remedy; and
(b) if the claim is one for infringement or the like (IC 26-1-2-312(3)) and the buyer is sued as a result of such a breach,
he must so notify the seller within a reasonable time after he
receives notice of the litigation or be barred from any remedy over
for liability established by the litigation.
(4) The burden is on the buyer to establish any breach with respect
to the goods accepted.
(5) Where the buyer is sued for breach of a warranty or other
obligation for which his seller is answerable over:
(a) He may give his seller written notice of the litigation. If the
notice states that the seller may come in and defend and that if the
seller does not do so he will be bound in any action against him
by his buyer by any determination of fact common to the two (2)
litigations, then unless the seller after seasonable receipt of the
notice does come in and defend he is so bound.
(b) If the claim is one for infringement or the like (IC 26-1-2-312(3)), the original seller may demand in writing that his
buyer turn over to him control of the litigation including
settlement or else be barred from any remedy over, and if he also
agrees to bear all expense and to satisfy any adverse judgment,
then unless the buyer after seasonable receipt of the demand does
turn over control, the buyer is so barred.
(6) The provisions of subsections (3), (4), and (5) apply to any
obligation of a buyer to hold the seller harmless against infringement
or the like (IC 26-1-2-312(3)).
Formerly: Acts 1963, c.317, s.2-607. As amended by
P.L.152-1986, SEC.156.