Legal Question in Business Law in Massachusetts

I am small business owner in MA and one of my customers in WA placed a large PO 9 months ago, while agreed to receive several shipments. The PO specifies quantity and no dates. After 3 partial shipments customer decides to cancel the PO with the remaining quantity due to changed marked circumstances and overstock of the item. This happened when CFO refused release of funds for last shipment. This is a non stocking item and can't be returned (used mobile devices). What are my rights and can he legally cancel?


Asked on 3/26/13, 3:52 pm

1 Answer from Attorneys

More information is needed to answer the question, an attorney would need to review the PO and its terms as well as any correspondence and emails relating to the order.

Absent a specific right to cancel and if the buyer agreed to shipments over a period of time, then you probably have a case for at least the amount of stock you hold to supply the Buyer.

However this is not a slam dunk, amongst other things the Buyer will state he can't sell them because they are not in good enough condition as well as having the right to cancel the order.

If you would like to meet to discuss the matter please feel free to contact me to set up a meeting without obligation

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Answered on 3/27/13, 8:33 am


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