(1) Where a tender or delivery of goods so fails to conform to the contract as to give a right of rejection the risk of their loss remains on the seller until cure or acceptance.
(2) Where the buyer rightfully revokes acceptance he may to the extent of any deficiency in his effective insurance coverage treat the risk of loss as having rested on the seller from the beginning.
(3) Where the buyer as to conforming goods already identified to the contract for sale repudiates or is otherwise in breach before risk of their loss has passed to him, the seller may to the extent of any deficiency in his effective insurance coverage treat the risk of loss as resting on the buyer for a commercially reasonable time.
(1959, P.A. 133, S. 2-510.)
Cited. 199 C. 245.
Subsec. (1):
Delay in delivering hardware necessary to complete work, when no date for delivery specified, does not constitute breach. 160 C. 468.
Subsec. (3):
Period from August 20 to September 22 was a commercially reasonable period within which to place the risk of loss on defendant; time limit imposed by section is designed to enable seller to obtain the additional requisite insurance coverage. 166 C. 280.