AMI 2516 Issues—Rejection of Goods

Arkansas Supreme Court Committee On Jury Instructions-Civil

Ark. Model Jury Instr., Civil AMI 2516

Arkansas Model Jury Instructions-Civil

December 2023 Update

Arkansas Supreme Court Committee On Jury Instructions-Civil

Chapter 25. UCC Sales Contracts

AMI 2516 Issues—Rejection of Goods

(Buyer) contends that [he][she][it] properly rejected the goods that are the subject of the contract with (seller), and has the burden of proving each of the following (number) essential propositions:

First, that (the goods) failed to conform to the contract;

[Second, that (buyer) did not accept (the goods) as explained in these instructions;]

[Second,][Third,] that (buyer) provided notice to (seller) of [his][hers][its] rejection; and

[Third,][Fourth,] that the notice of rejection was seasonably given by (buyer) to (seller).

NOTE ON USE

Use this instruction when there is an issue of whether a buyer properly rejected goods. Use the first bracketed paragraph and AMI 2517 if there is a fact question of whether the buyer accepted the goods and thereby precluded the right of rejection.

The definition of “seasonable” is provided as a part of AMI 2503, and may be used in connection with this instruction.

COMMENT

This instruction is based on Ark. Code Ann. § 4-2-602, which deals with the manner and effect of rightful rejection in all cases except installment cases. Installment cases, which are governed by Ark. Code Ann. § 4-2-612, may require some modification of this instruction.

Under Article 2 of the UCC, if goods do not conform to the contract, a buyer may use the self-help remedies of rejection (Ark. Code Ann. § 4-2-602) and revocation of acceptance (Ark. Code Ann. § 4-2-608). The drafters of the Code preferred using the words “rejection” and “revocation of acceptance” rather than “rescission” to avoid the confusing body of law which had arisen throughout the country in rescission cases. 1 White & Summers, Uniform Commercial Code, § 8-1 (3rd ed. 1988).

Rejection of goods requires timely notice from the buyer. Rejection also must come within a reasonable time after their delivery or tender and before the goods are accepted. Ark. Code Ann. §§ 4-2-602 and 4-2-606. Rejection of goods by the buyer gives the seller the right to cure the non-conformity. Ark. Code Ann. § 4-2-508.

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