LawWiki
HomeCodesSearchGlossaryAPIAbout
LawWiki

Plain English summaries of California law with zero-hallucination AI. Every summary is verified against official source text.

Product

  • Search
  • Codes
  • About

Legal

  • Privacy Policy
  • Terms of Service
  • Disclaimer

© 2026 LawWiki. All rights reserved.

HomeCommercial CodeDiv. 2Ch. 7§ 2707 Seller Rights And Remedies

§ 2707 Seller Rights And Remedies

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

§ 2707 Seller Rights And Remedies

This law says that anyone who acts like a seller—like an agent who paid for goods or has a security interest—can hold back delivery, sell the goods themselves, and claim extra damages.

Key Takeaways

  • •An agent who pays for goods or holds a security interest is treated like a seller.
  • •That person can withhold or stop delivery of the goods.
  • •They can resell the goods and claim any extra damages.

Example

A sales agent pays for a shipment of computers for a big retailer. The retailer then refuses to pay the agent for the computers.

Because the agent paid for the computers, the law lets the agent stop the delivery, sell the computers to another buyer, and ask for any extra costs caused by the retailer's refusal.

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

Official Source
View on CA.gov

§ 2707 Seller Rights And Remedies

(1) A “person in the position of a seller” includes as against a principal an agent who has paid or become responsible for the price of goods on behalf of his principal or anyone who otherwise holds a security interest or other right in goods similar to that of a seller. (2) A person in the position of a seller may as provided in this division withhold or stop delivery (Section 2705) and resell (Section 2706) and recover incidental damages (Section 2710). (Enacted by Stats. 1963, Ch. 819.)

Last verified: January 10, 2026

Key Terms

person in the position of a sellersecurity interestwithhold or stop deliveryresellrecover incidental damages

Related Statutes

  • § 2711 Buyer Remedies For Nondelivery
  • § 2716 Buyer'S Remedies For Goods
  • § 2722 Third Party Goods Injury
  • § 9703 Continuing Perfection Transition
  • § 9704 Transitional Security Interests

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Commercial Code. Section 2707.
View Official Source