Sales and Leases Outline (First Edition)

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remedy, resort to that remedy is optional, unless the agreement explicitly provides that the limited, modified, or alternative remedy is the sole remedy.

1. Exclusive or Limited Remedy That Fails of Its Essential Purpose An exclusive or limited remedy will not apply if it fails of its essential purpose. The remedy may fail of its essential purpose, in turn, if under the circumstances it deprives the aggrieved party of the essential benefit of its bargain. The failure should owe to circumstances unforeseeable to the parties at the time of contracting. 2. Limiting or Excluding Consequential Damages The agreement may generally limit or exclude consequential damages. This limitation or exclusion will be ineffective, however, if it is unconscionable. In cases of consumer goods ( i.e. , goods purchased primarily for personal, family, or household use), any limitation of consequential damages for personal injury is prima facie unconscionable.

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