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HomeCommercial CodeDiv. 2Ch. 2§ 2204 Sale Contract Formation Rules

§ 2204 Sale Contract Formation Rules

Commercial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 2204 Sale Contract Formation Rules

Key Takeaways

  • •You can make a deal to sell something in any way that shows you both agree, even if it's not written down.
  • •The exact time you made the deal doesn't matter as long as you both meant to make it.
  • •A deal is still good even if some details are missing, as long as you both wanted to make a deal and a judge can figure out a fair solution.

Example

You agree to sell your old bike to your friend, but you don't write anything down or set a exact price.

If you both act like the deal is happening (like you give the bike and they pay you some money), it's still a real deal. Even if you didn't say the exact price, a judge can decide what's fair if there's a problem.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 2204 Sale Contract Formation Rules

(1) A contract for sale of goods may be made in any manner sufficient to show agreement, including conduct by both parties which recognizes the existence of such a contract. (2) An agreement sufficient to constitute a contract for sale may be found even though the moment of its making is undetermined. (3) Even though one or more terms are left open a contract for sale does not fail for indefiniteness if the parties have intended to make a contract and there is a reasonably certain basis for giving an appropriate remedy. (Enacted by Stats. 1963, Ch. 819.)

Last verified: January 23, 2026

Key Terms

contract for sale of goodsagreementconductindefinitenessreasonably certain basis

Related Statutes

  • § 10204 Lease Contract Formation Rules
  • § 10219 Risk Of Loss Transfer
  • § 11202 Payment Order Authorization Rules
  • § 11204 Unauthorized Payment Order Refunds
  • § 1203 Lease Vs Security Interest

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Commercial Code. Section 2204.
View Official Source