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2023 Tennessee Code
Title 47 - COMMERCIAL INSTRUMENTS AND TRANSACTIONS (§§ 47-1-101 — 47-50-121)
Chapter 2 - SALES (§§ 47-2-101 — 47-2-725)
Part 3 - GENERAL OBLIGATION AND CONSTRUCTION OF CONTRACT (§§ 47-2-301 — 47-2-328)
Section 47-2-327 - Special incidents of sale on approval and sale or return
Universal Citation:
TN Code § 47-2-327 (2023)
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on the American Association of Law Libraries Universal Citation Guide and is not
necessarily the official citation.
- (1) Under a sale on approval unless otherwise agreed:
- (a) although the goods are identified to the contract the risk of loss and the title do not pass to the buyer until acceptance; and
- (b) use of the goods consistent with the purpose of trial is not acceptance but failure seasonably to notify the seller of election to return the goods is acceptance, and if the goods conform to the contract acceptance of any part is acceptance of the whole; and
- (c) after due notification of election to return, the return is at the seller's risk and expense but a merchant buyer must follow any reasonable instructions.
- (2) Under a sale or return unless otherwise agreed:
- (a) the option to return extends to the whole or any commercial unit of the goods while in substantially their original condition, but must be exercised seasonably; and
- (b) the return is at the buyer's risk and expense.
Acts 1963, ch. 81, § 1 (2-327).
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