Ucc Vs. Common Law Contracts

5th Weekly Reflection

Rhonda, Misty, Eduardo, John

LAW/421

17FEB2015

Mr. Addington

UCC vs. Common Law Contracts

        The first thing to acknowledge when discussing the UCC (Uniform Commercial Code) in comparison to the Common Law Contract, is that the UCC deals mainly was the sale of good. Also that it is the same, regardless of the state that you are in and the state you want to do business with (with the exception of Louisiana). If legal action is needed for a Common Law Contract the process can vary depending on the state it is processed in. Common Law Contracts also deal with expressed contracts, implied contract and quasi contract. A UCC Contract has requirements of a physical good and that the good can be moved, but a Common Law Contract can cover just about anything.

        Common Law contracts include real estate, services, intangible assets, employee contracts, and insurance while UCC Article two contracts include the sales of goods and securities.  The United States implemented these into two into legislation and Article two of the UCC code to oversee the formation of contracts in the sale of goods in the judicial court system. Common law and the UCC contracts are similar in nature when we review the formation of contracts.  The components that are the same is the offer, acceptance and consideration. The distinct difference is that in Common law contracts there is clear and mutual understanding with very specific guidelines. The UCC contracts are broader in general terms and not very specific.

References

Melvin, S. P. (2011). The Legal Environment of Business. New York: McGraw-Hill/Irwin.