Montana § 30-2-326 Sale On Approval And Sale Or Return -- Rights Of Creditors

Montana Statutes

§ 30-2-326 — Sale On Approval And Sale Or Return -- Rights Of Creditors

Montana·Title 30 TRADE AND COMMERCE·Ch. 2 UNIFORM COMMERCIAL CODE SALES·Part 3 General Obligation and Construction of Contract

30-2-326 . 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 the goods are delivered primarily for use; and

(b)a "sale or return" if the goods are delivered primarily for resale.

(2)Goods held on approval are not subject to the claims of the buyer's creditors until acceptance; goods held on sale or return are subject to such claims while in the buyer's possession.

(3)Any "or return" term of a contract for sale is to be treated as a separate contract for sale within the statute of frauds section of this chapter ( 30-2-201 ) and as contradicting the sale aspect of the contract within the provisions of this chapter

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30-2-326 . 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 the goods are delivered primarily for use; and
(b) a "sale or return" if the goods are delivered primarily for resale.
(2) Goods held on approval are not subject to the claims of the buyer's creditors until acceptance; goods held on sale or return are subject to such claims while in the buyer's possession.
(3) Any "or return" term of a contract for sale is to be treated as a separate contract for sale within the statute of frauds section of this chapter ( 30-2-201 ) and as contradicting the sale aspect of the contract within the provisions of this chapter on parol or extrinsic evidence ( 30-2-202 ).

Montana § 30-2-326 (Sale On Approval And Sale Or Return -- Rights Of Creditors) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.