Legislation
SECTION 2-312
Warranty of Title and Against Infringement; Buyer's Obligation Against Infringement
Uniform Commercial Code (UCC) CHAPTER 38, ARTICLE 2, PART 3
Section 2--312. Warranty of Title and Against Infringement; Buyer's
Obligation Against Infringement.
(1) Subject to subsection (2) there is in a contract for sale a
warranty by the seller that
(a) the title conveyed shall be good, and its transfer rightful;
and
(b) the goods shall be delivered free from any security interest
or other lien or encumbrance of which the buyer at the time
of contracting has no knowledge.
(2) A warranty under subsection (1) will be excluded or modified only
by specific language or by circumstances which give the buyer reason to
know that the person selling does not claim title in himself or that he
is purporting to sell only such right or title as he or a third person
may have.
(3) Unless otherwise agreed a seller who is a merchant regularly
dealing in goods of the kind warrants that the goods shall be delivered
free of the rightful claim of any third person by way of infringement or
the like but a buyer who furnishes specifications to the seller must
hold the seller harmless against any such claim which arises out of
compliance with the specifications.
Obligation Against Infringement.
(1) Subject to subsection (2) there is in a contract for sale a
warranty by the seller that
(a) the title conveyed shall be good, and its transfer rightful;
and
(b) the goods shall be delivered free from any security interest
or other lien or encumbrance of which the buyer at the time
of contracting has no knowledge.
(2) A warranty under subsection (1) will be excluded or modified only
by specific language or by circumstances which give the buyer reason to
know that the person selling does not claim title in himself or that he
is purporting to sell only such right or title as he or a third person
may have.
(3) Unless otherwise agreed a seller who is a merchant regularly
dealing in goods of the kind warrants that the goods shall be delivered
free of the rightful claim of any third person by way of infringement or
the like but a buyer who furnishes specifications to the seller must
hold the seller harmless against any such claim which arises out of
compliance with the specifications.