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HomeCommercial CodeDiv. 2Ch. 5§ 2503 Seller Delivery Obligations

§ 2503 Seller Delivery Obligations

Commercial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 2503 Seller Delivery Obligations

Key Takeaways

  • •The seller must make the goods available to the buyer and tell the buyer how to get them.
  • •The seller must keep the goods ready for the buyer to pick up for a reasonable time.
  • •If the goods are stored somewhere else, the seller must give the buyer the right papers to get them.
  • •If the seller has to send documents, they must send the correct ones and use normal ways like banks.

Example

You buy a bike online, and the seller says you can pick it up at their store.

The seller must have your bike ready at the store during normal hours and tell you when you can come get it. They can't just leave it there for a short time and take it away. If the bike is at a warehouse instead, the seller has to give you the right papers so the warehouse will let you take it.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 2503 Seller Delivery Obligations

(1) Tender of delivery requires that the seller put and hold conforming goods at the buyer’s disposition and give the buyer any notification reasonably necessary to enable him to take delivery. The manner, time and place for tender are determined by the agreement and this division, and in particular (a) Tender must be at a reasonable hour, and if it is of goods they must be kept available for the period reasonably necessary to enable the buyer to take possession; but (b) Unless otherwise agreed, the buyer must furnish facilities reasonably suited to the receipt of the goods. (2) Where the case is within the next section respecting shipment tender requires that the seller comply with its provisions. (3) Where the seller is required to deliver at a particular destination tender requires that he comply with subdivision (1) and also in any appropriate case tender documents as described in subdivisions (4) and (5) of this section. (4) Where goods are in the possession of a bailee and are to be delivered without being moved (a) Tender requires that the seller either tender a negotiable document of title covering such goods or procure acknowledgment by the bailee of the buyer’s right to possession of the goods; but (b) Tender to the buyer of a nonnegotiable document of title or of a record directing the bailee to deliver is sufficient tender unless the buyer seasonably objects, and except as otherwise provided in Division 9 (commencing with Section 9101), receipt by the bailee of notification of the buyer’s rights fixes those rights as against the bailee and all third persons; but risk of loss of the goods and of any failure by the bailee to honor the nonnegotiable document of title or to obey the direction remains on the seller until the buyer has had a reasonable time to present the document or direction, and a refusal by the bailee to honor the document or to obey the direction defeats the tender. (5) Where the contract requires the seller to deliver documents (a) He must tender all such documents in correct form, except as provided in this division with respect to bills of lading in a set (subdivision (2) of Section 2323); and (b) Tender through customary banking channels is sufficient and dishonor of a draft accompanying or associated with the documents constitutes nonacceptance or rejection. (Amended by Stats. 2006, Ch. 254, Sec. 38. Effective January 1, 2007.)

Last verified: January 23, 2026

Key Terms

tender of deliveryconforming goodsbaileedocument of title

Related Statutes

  • § 10524 Lessor Remedies After Default
  • § 10526 Lessor Right To Stop Delivery
  • § 7505 Endorsement Liability Limitation
  • § 7507 Transferor Document Warranties
  • § 7509 Document Title Adequacy Rules

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Commercial Code. Section 2503.
View Official Source