§490:2-603 - Merchant buyer's duties as to rightfully rejected goods.
§490:2-603 Merchant buyer's duties as to
rightfully rejected goods. (1) Subject to any security interest in the
buyer (subsection (3) of section 490:2-711), when the seller has no agent or
place of business at the market of rejection a merchant buyer is under a duty
after rejection of goods in his possession or control to follow any reasonable
instructions received from the seller with respect to the goods and in the
absence of such instructions to make reasonable efforts to sell them for the
seller's account if they are perishable or threaten to decline in value
speedily. Instructions are not reasonable if on demand indemnity for expenses
is not forthcoming.
(2) When the buyer sells goods under
subsection (1), he is entitled to reimbursement from the seller or out of the
proceeds for reasonable expenses of caring for and selling them, and if the
expenses include no selling commission then to such commission as is usual in
the trade or if there is none to a reasonable sum not exceeding ten per cent on
the gross proceeds.
(3) In complying with this section the buyer
is held only to good faith and good faith conduct hereunder is neither
acceptance nor conversion nor the basis of an action for damages. [L 1965, c
208, §2-603; HRS §490:2-603]