§ 41-02-76 — (2-613) Casualty to identified goods

If 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, no sale" term (section 41-02-41) then:
1. If the loss is total, the contract is avoided.
2. If the loss is partial or the goods have so deteriorated as no longer to conform to the
contract, the buyer may nevertheless demand inspection and at the buyer's option
either treat the contract as avoided or accept the goods with due allowance from the
contract price for the deterioration or the deficiency in quantity but without further right
against the seller.