47-2106. Definitions: "contract"; "agreement";
"contract for sale"; "sale"; "present sale"; "conforming" to
contract; "termination"; "cancellation"
A. In this chapter, unless the context otherwise requires, "contract" and
"agreement" are limited to those relating to the present or future sale of
goods. "Contract for sale" includes both a present sale of goods and a contract to sell
goods at a future time. A "sale" consists in the passing of title from the seller to the
buyer for a price (section 47-2401). A "present sale" means a sale which is accomplished
by the making of the contract.
B. Goods or conduct including any part of a performance are "conforming" or conform
to the contract when they are in accordance with the obligations under the contract.
C. "Termination" occurs when either party pursuant to a power created by agreement
or law puts an end to the contract otherwise than for its breach. On "termination" all
obligations which are still executory on both sides are discharged but any right based on
prior breach or performance survives.
D. "Cancellation" occurs when either party puts an end to the contract for breach
by the other and its effect is the same as that of "termination" except that the
cancelling party also retains any remedy for breach of the whole contract or any
unperformed balance.
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