Section 2–702. (1) Where the seller discovers the buyer to be insolvent he may refuse delivery except for cash including payment for all goods theretofore delivered under the contract, and stop delivery under this Article (section 2–705).
(2) Where the seller discovers that the buyer has received goods on credit while insolvent he may reclaim the goods upon demand made within ten days after the receipt, but if misrepresentation of solvency has been made to the particular seller in writing within three months before delivery the ten day limitation does not apply. Except as provided in this subsection the seller may not base a right to reclaim goods on the buyer's fraudulent or innocent misrepresentation of solvency or of intent to pay.
(3) The seller's right to reclaim under subsection (2) is subject to the rights of a buyer in ordinary course or other good faith purchaser or lien creditor under this Article (section 2–403). Successful reclamation of goods excludes all others remedies with respect to them.
Structure Massachusetts General Laws
Part I - Administration of the Government
Title XV - Regulation of Trade
Chapter 106 - Uniform Commercial Code
Section 2-715 - Buyer's Incidental and Consequential Damages
Section 2-723 - Proof of Market Price: Time and Place
Section 2-716 - Buyer's Right to Specific Performance or Replevin
Section 2-717 - Deduction of Damages From Price
Section 2-718 - Liquidation or Limitation of Damages; Deposits
Section 2-719 - Contractual Modification or Limitation of Remedy
Section 2-720 - Effect of ''cancellation'' or ''rescission'' on Claims for Antecedent Breach
Section 2-721 - Remedies for Fraud
Section 2-722 - Who Can Sue Third Parties for Injury to Goods
Section 2-724 - Admissibility of Market Quotations
Section 2-512 - Payment by Buyer Before Inspection
Section 2-515 - Preserving Evidence of Goods in Dispute
Section 2-514 - When Documents Deliverable on Acceptance; When on Payment
Section 2-513 - Buyer's Right to Inspection of Goods
Section 2-714 - Buyer's Damages for Breach in Regard to Accepted Goods
Section 2-603 - Merchant Buyer's Duties as to Rightfully Rejected Goods
Section 2-510 - Effect of Breach on Risk of Loss
Section 2-509 - Risk of Loss in the Absence of Breach
Section 2-508 - Cure by Seller of Improper Tender or Delivery; Replacement
Section 2-507 - Effect of Seller's Tender; Delivery on Condition
Section 2-506 - Rights of Financing Agency
Section 2-505 - Seller's Shipment Under Reservation
Section 2-725 - Statute of Limitations in Contracts for Sale
Section 2-713 - Buyer's Damages for Non-Delivery or Repudiation
Section 2-707 - ''person in the Position of a Seller''
Section 2-711 - Buyer's Remedies in General; Buyer's Security Interest in Rejected Goods
Section 2-504 - Shipment by Seller
Section 2-604 - Buyer's Options as to Salvage of Rightfully Rejected Goods
Section 2-605 - Waiver of Buyer's Objections by Failure to Particularize
Section 2-606 - What Constitutes Acceptance of Goods
Section 2-608 - Revocation of Acceptance in Whole or in Part
Section 2-609 - Right to Adequate Assurance of Performance
Section 2-610 - Anticipatory Repudiation
Section 2-611 - Retraction of Anticipatory Repudiation
Section 2-612 - ''installment Contract''; Breach
Section 2-613 - Casualty to Identified Goods
Section 2-614 - Substituted Performance
Section 2-615 - Excuse by Failure of Presupposed Conditions
Section 2-616 - Procedure on Notice Claiming Excuse
Section 2-701 - Remedies for Breach of Collateral Contracts Not Impaired
Section 2-702 - Seller's Remedies on Discovery of Buyer's Insolvency
Section 2-703 - Seller's Remedies in General
Section 2-705 - Seller's Stoppage of Delivery in Transit or Otherwise
Section 2-706 - Seller's Resale Including Contract for Resale
Section 2-708 - Seller's Damages for Non-Acceptance or Repudiation
Section 2-709 - Action for the Price
Section 2-710 - Seller's Incidental Damages
Section 2-712 - ''cover''; Buyer's Procurement of Substitute Goods
Section 2-503 - Manner of Seller's Tender of Delivery
Section 2-511 - Tender of Payment by Buyer; Payment by Check
Section 2-501 - Insurable Interest in Goods; Manner of Identification of Goods
Section 2-304 - Price Payable in Money, Goods, Realty, or Otherwise
Section 2-305 - Open Price Term
Section 2-306 - Output, Requirements and Exclusive Dealings
Section 2-307 - Delivery in Single Lot or Several Lots
Section 2-308 - Absence of Specified Place for Delivery
Section 2-309 - Absence of Specific Time Provisions; Notice of Termination
Section 2-310 - Open Time for Payment or Running of Credit; Authority to Ship Under Reservation
Section 2-303 - Allocation or Division of Risks
Section 2-311 - Options and Co-Operation Respecting Performance
Section 2-313 - Express Warranties by Affirmation, Promise, Description, Sample
Section 2-314 - Implied Warranty: Merchantability; Usage of Trade
Section 2-315 - Implied Warranty; Fitness for Particular Purpose
Section 2-316 - Exclusion or Modification of Warranties
Section 2-316a - Limitation on Exclusion or Modification of Warranties
Section 2-317 - Cumulation and Conflict of Warranties Express or Implied
Section 2-312 - Warranty of Title and Against Infringement; Buyer's Obligation Against Infringement
Section 2-302 - Unconscionable Contract or Clause
Section 2-301 - General Obligations of Parties
Section 2-210 - Delegation of Performance; Assignment of Rights
Section 2-602 - Manner and Effect of Rightful Rejection
Section 2-102 - Scope; Certain Security and Other Transactions Excluded From This Article
Section 2-103 - Definitions and Index of Definitions
Section 2-104 - Definitions: ''merchant''; ''between Merchants''; ''financing Agency''
Section 2-107 - Goods to Be Severed From Realty; Recording
Section 2-201 - Formal Requirements: Statute of Frauds
Section 2-202 - Final Written Expression: Parol or Extrinsic Evidence
Section 2-203 - Seals Inoperative
Section 2-204 - Formation in General
Section 2-206 - Offer and Acceptance in Formation of Contract
Section 2-207 - Additional Terms in Acceptance or Confirmation
Section 2-209 - Modification, Rescission and Waiver
Section 2-319 - f.o.b. and f.a.s. Terms
Section 2-502 - Buyer's Right to Goods on Seller's Repudiation, Failure to Deliver, or Insolvency
Section 2-601 - Buyer's Rights on Improper Delivery
Section 2-323 - Form of Bill of Lading Required in Overseas Shipment; ''overseas''
Section 2-403 - Power to Transfer; Good Faith Purchase of Goods; ''entrusting''
Section 2-402 - Rights of Seller's Creditors Against Sold Goods
Section 2-401 - Passing of Title; Reservation for Security; Limited Application of This Section
Section 2-328 - Sale by Auction
Section 2-327 - Special Incidents of Sale on Approval and Sale or Return
Section 2-326 - Sale on Approval and Sale or Return; Rights of Creditors
Section 2-325 - ''letter of Credit'' Term; ''confirmed Credit''
Section 2-324 - ''no Arrival, No Sale'' Term