Thank You For Submiting Feedback!
A buyer may revoke an acceptance providing that he or she can show that the "nonconformity" in the goods that the buyer has purchased substantially impairs their value to him or her, Mass. Gen. Laws ch. 106, § 2-608(1); that the buyer accepted the goods on the reasonable assumption that their non-conformity would be cured and it has not been seasonably cured, Mass. Gen. Laws ch. 106, § 2-608(1)(a); and that he or she revoked acceptance within a reasonable time after the buyer discovers or should have discovered the ground for it.
The purchasers, Robert and Marie Fortin, called to the seller Ox-Bow Marina, Inc.’s attention a number of defects in their new boat and were assured that all the defects would be cured by the time of closing. On the day of the closing, none of the preparation work had been started. On delivery the purchasers noted again that most of the original defects had not been repaired. The purchasers also identified other defects. Thereafter, the purchasers filed the present action seeking money damages under the Uniform Commercial Code (U.C.C.) (G. L. c. 106 [1988 ed.]), on the grounds of revocation of acceptance and breach of warranties. The Superior Court (Massachusetts) ruled that the purchasers had effectively revoked acceptance of the boat. The seller appealed, arguing that the judge erred in ruling that the purchasers’ revocation of acceptance was effective.
Under the circumstances, did the purchasers effectively revoke the sale?
The court held that the trial judge's finding of substantial impairment was not clearly erroneous. Because the seller was negligent in inspecting, maintaining, and repairing the purchasers' boat where a number of defects were never repaired despite regularly repeated complaints, the boat's value to the purchasers was substantially impaired. Having met the requirements of Mass. Gen. Laws ch. 106, § 2-608, the purchasers were entitled to revoke their acceptance. The court concluded that the purchasers were also entitled to recover interest paid on a purchase-money loan as consequential damages and sales tax as incidental damages in addition to their direct damages.