Industrial Molded Plastic Products, Inc. v. J. Gross & Son, Inc.
Pennsylvania Superior Court
398 A.2d 695 (1979)
An unauthorized Gross (defendant) employee ordered five million plastic clothing clips from Industrial Molded (plaintiff), and after picking up and struggling to sell an initial 772,000-clip delivery, the employee simply refused to accept delivery of the remaining four million clips rather than admit the purchasing mistake; the clips sat available for Gross's inspection for months without payment or rejection before Industrial Molded sued. The trial court found for Industrial Molded but limited damages to lost profits, reasoning Industrial Molded had not made reasonable efforts to resell the clips; Industrial Molded appealed, arguing it was entitled to the full unpaid contract price instead.
Whether, under the Uniform Commercial Code, a buyer's failure to reject goods results in acceptance of those goods and liability for the full contract price.