Legal Definitions - Option to Cure

Option to Cure is a legal term used in Article 2 of the Uniform Commercial Code. It refers to a situation where a seller has the right to fix a problem with the goods they have delivered to a buyer, even if the buyer has rejected the goods because they were not perfect.

For example, let's say a buyer ordered 100 widgets from a seller, but the seller only delivered 90 widgets. The buyer could reject the delivery because it was not a perfect tender. However, if the seller still has time to deliver the remaining 10 widgets before the agreed-upon delivery date, they have the option to cure the problem by delivering the missing widgets. If they do so, they cannot be held liable for breaching the contract.

The option to cure is only available if the time for performance has not expired. This means that if the delivery date has already passed, the seller cannot use the option to cure to fix any problems with the goods they have delivered.