Sec. 45.02.607. Effect of acceptance; notice of breach; burden of establishing breach after acceptance; notice of claim or litigation to person answerable over.

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A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)The buyer must pay at the contract rate for any goods accepted.

(b)Acceptance of goods by the buyer precludes rejection of the goods accepted and, if made with knowledge of a nonconformity, cannot be revoked because of it unless the acceptance was on the reasonable assumption that the nonconformity would be seasonably cured, but acceptance does not of itself impair any other remedy provided by this chapter for nonconformity.

(c)If a tender has been accepted,

(1)the buyer must, within a reasonable time after the buyer discovers or should have discovered a breach, notify the seller of the breach or be barred from any remedy; and

(2)if the claim is one for infringement or the like ( AS 45.02.312 (c)) and the buyer is sued as a result of such a breach, the buyer must so notify the seller within a reasonable time after the buyer receives notice of the litigation or be barred from any remedy over for liability established by the litigation.

(d)The burden is on the buyer to establish a breach with respect to the goods accepted.

(e)If the buyer is sued for breach of a warranty or other obligation for which the buyer's seller is answerable over,

(1)the buyer may give the seller written notice of the litigation; if the notice states that the seller may come in and defend and that if the seller does not do so the seller will be bound in an action against the seller by the seller's buyer by a determination of fact common to the two litigations, then, unless the seller, after seasonable receipt of the notice, does come in and defend, the seller is so bound;

(2)if the claim is one for infringement or the like ( AS 45.02.312 (c)), the original seller may demand in writing that the seller's buyer turn over to the seller control of the litigation including settlement or else be barred from any remedy over, and if the seller also agrees to bear all expense and to satisfy an adverse judgment, then unless the buyer after seasonable receipt of the demand does turn over control the buyer is so barred.

(f)The provisions of

(c)—

(e)of this section apply to an obligation of a buyer to hold the seller harmless against infringement or the like ( AS 45.02.312 (c)).