2009 Hawaii Code
Volume 11
TITLE 27 - UNIFORM COMMERCIAL CODE
CHAPTER 490 - UNIFORM COMMERCIAL CODE
§490:2-711 - Buyer's remedies in general; buyer's security interest in rejected goods.

     §490:2-711  Buyer's remedies in general; buyer's security interest in rejected goods.  (1)  Where the seller fails to make delivery or repudiates or the buyer rightfully rejects or justifiably revokes acceptance then with respect to any goods involved, and with respect to the whole if the breach goes to the whole contract (section 490:2-612), the buyer may cancel and whether or not he has done so may in addition to recovering so much of the price as has been paid:

    (a)   "Cover" and have damages under the next section as to all the goods affected whether or not they have been identified to the contract; or

    (b)   Recover damages for nondelivery as provided in this article (section 490:2-713).

     (2)  Where the seller fails to deliver or repudiates the buyer may also:

    (a)   If the goods have been identified recover them as provided in this article (section 490:2-502); or

    (b)   In a proper case obtain specific performance or replevy the goods as provided in this article (section 490:2-716).

     (3)  On rightful rejection or justifiable revocation of acceptance a buyer has a security interest in goods in his possession or control for any payments made on their price and any expenses reasonably incurred in their inspection, receipt, transportation, care and custody and may hold such goods and resell them in like manner as an aggrieved seller (section 490:2-706). [L 1965, c 208, §2-711; HRS §490:2-711]

 

Case Notes

 

  Since defendant did not justifiably revoke defendant's acceptance, defendant did not have a §490:2-711 security interest in the goods and was not authorized to retain them as security.  10 H. App. 368, 874 P.2d 1100.