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UCC Contracts QUESTION #5864
Question 1
A Seller ships goods 'C.O.D.' (Collect on Delivery). Does the Buyer have a right to inspect before paying?
  • Yes, the right to inspect is absolute.
  • No, C.O.D. terms generally exclude the right to inspect before payment.โœ”๏ธ
  • Yes, but only for visible defects.
  • No, unless the Buyer is a non-merchant.
Correct Answer Explanation
Under UCC ยง2-513(3), the buyer is not entitled to inspect the goods before payment when the contract provides for payment on delivery (C.O.D.).