It is necessary for goods to be (1) a thing; (2) existing; and (3) movable, with (2) and (3) existing simultaneously; electricity qualifies in each respect.
Appellant filed an action against appellee utility company, based upon a breach of implied and express warranties, for damages caused to certain of appellant's household appliances. The damage was a result of appellee furnishing electricity of more voltage than was necessary to operate the appliances. Appellee filed an answer that contended more than four years had accrued since the incident occurred. Appellee then filed a motion for summary judgment predicated upon the statute of limitations. The Wabash Circuit Court (Indiana) granted appellee's motion for summary judgment based upon the expiration of the applicable statute of limitations and appellant challenged the decision.
Is electricity a “good” under the purview of the Uniform Commercial Code?
The appellate affirmed the lower court's decision. The court found that electricity, as supplied by appellee, was considered to be a good covered by the Uniform Commercial Code. Based upon this determination, the court found that the applicable statute of limitations found in Ind. Code Ann. § 26-1-2-725 applied and that appellant was therefore barred from asserting a claim against appellee.