Question

Stitches Corporation enters into a contract to sell denim clothing to Trend Fashion Company, which in turn sells the clothing to consumers. In contrast to standards that apply to consumers, the UCC imposes on merchants:_________

a. less strict legal standards.
b. special business standards.
c. stricter ethical standards.
d. the same overall standards.

Answer 1

B. special business standards.

Step-by-step explanation:

In this scenario, Stitches Corporation enters into a contract to sell denim clothing to Trend Fashion Company, which in turn sells the clothing to consumers. In contrast to standards that apply to consumers, the uniform commercial code (UCC) imposes on merchants is the special business standards.

The uniform commercial code (UCC) is a set of standardized business laws which are put in place for the regulation of financial contracts and commercial transactions used across different states in the United States of America.

There are special rules known as the special business standards that are set up by UCC governing the merchants and the sales of goods in the Article 2 of the uniform commercial code.