Also known as: identify goods · identifying goods · identified the goods · goods identified to the contract
Written by attorneys · grounded in primary & secondary sources — see below
Goods that a seller has designated or set aside for a particular contract of sale. Designation occurs when the seller marks, segregates, or otherwise allocates specific items to fulfill the buyer's order.
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MonitorCorp agreed to supply Bridge Clean with custom air-quality units bearing specific serial numbers and stored in labeled bins. After MonitorCorp repudiated, Bridge Clean demanded the units. MonitorCorp then marked the units for the contract and held them ready for delivery despite the breach.
Integrity Partners contracted to sell specialized textile machinery that it had already tagged and segregated for Ironwood Capital. Ironwood Capital refused to pay. Integrity Partners could not locate another buyer after reasonable efforts and sued for the contract price.
Identification occurs when the seller designates or sets aside particular goods for the contract, such as by marking, segregating, or assigning serial numbers. Once identification takes place, the buyer acquires a special property interest in those goods.
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The buyer may obtain replevin or specific performance if cover is unavailable. The seller may recover the price if the goods cannot be resold at a reasonable price after reasonable effort.
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Yes. After repudiation the seller may identify goods to the contract and then pursue remedies such as recovery of the price or damages.
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