(1) The seller may stop delivery of goods in the possession of a
carrier or other bailee when he discovers the buyer to be insolvent
(Section 2--702) and may stop delivery of carload, truckload, planeload
or larger shipments of express or freight when the buyer repudiates or
fails to make a payment due before delivery or if for any other reason
the seller has a right to withhold or reclaim the goods.
(2) As against such buyer the seller may stop delivery until
(a) receipt of the goods by the buyer; or
(b) acknowledgment to the buyer by any bailee of the goods except
a carrier that the bailee holds the goods for the buyer; or
(c) such acknowledgment to the buyer by a carrier by reshipment
or as a warehouse; or
(d) negotiation to the buyer of any negotiable document of title
covering the goods.
(3) (a) To stop delivery the seller must so notify as to enable the
bailee by reasonable diligence to prevent delivery of the
goods.
(b) After such notification the bailee must hold and deliver the
goods according to the directions of the seller but the
seller is liable to the bailee for any ensuing charges or
damages.
(c) If a negotiable document of title has been issued for goods
the bailee is not obliged to obey a notification to stop
until surrender of possession or control of the document.
(d) A carrier who has issued a non-negotiable bill of lading is
not obliged to obey a notification to stop received from a
person other than the consignor.
Structure New York Laws
2-701 - Remedies for Breach of Collateral Contracts Not Impaired.
2-702 - Seller's Remedies on Discovery of Buyer's Insolvency.
2-703 - Seller's Remedies in General.
2-705 - Seller's Stoppage of Delivery in Transit or Otherwise.
2-706 - Seller's Resale Including Contract for Resale.
2-707 - "Person in the Position of a Seller".
2-708 - Seller's Damages for Non-Acceptance or Repudiation.
2-710 - Seller's Incidental Damages.
2-711 - Buyer's Remedies in General; Buyer's Security Interest in Rejected Goods.
2-712 - "Cover"; Buyer's Procurement of Substitute Goods.
2-713 - Buyer's Damages for Non-Delivery or Repudiation.
2-714 - Buyer's Damages for Breach in Regard to Accepted Goods.
2-715 - Buyer's Incidental and Consequential Damages.
2-716 - Buyer's Right to Specific Performance or Replevin.
2-717 - Deduction of Damages From the Price.
2-718 - Liquidation or Limitation of Damages; Deposits.
2-719 - Contractual Modification or Limitation of Remedy.
2-720 - Effect of "Cancellation" or "Rescission" on Claims for Antecedent Breach.
2-722 - Who Can Sue Third Parties for Injury to Goods.
2-723 - Proof of Market Price: Time and Place.