Buyer in Ordinary Course of Business Law and Legal Definition
Pursuant to the Uniform Commercial Code, "Buyer in ordinary course of business" means a person that buys goods in good faith, without knowledge that the sale violates the rights of another person in the goods, and in the ordinary course from a person, other than a pawnbroker, in the business of selling goods of that kind. A person buys goods in the ordinary course if the sale to the person comports with the usual or customary practices in the kind of business in which the seller is engaged or with the seller's own usual or customary practices. A buyer in ordinary course of business may buy for cash, by exchange of other property, or on secured or unsecured credit. Moreover, the buyer may acquire goods or documents of title under a preexisting contract for sale. However, “buyer in ordinary course of business" does not include a person that acquires goods in a transfer in bulk or as security for or in total or partial satisfaction of a money debt.
Legal Definition list
- Buyer
- Buydown
- Buy-Side
- Buy-Out Payment
- Buy-In Payment
- Buyer in Ordinary Course of Business
- Buyer's Remorse
- Buying an Existing Business
- Buying In
- Buying of Titles
- Buying-In
