Unless the contrary intention clearly appears, expressions of 'cancellation' or 'rescission' of the contract or the like shall not be construed as a renunciation or discharge of any claim in damages for an antecedent breach. History: 1953 Comp., § 50A-2-720, enacted by Laws 1961, ch. 96, § 2-720. OFFICIAL COMMENTS UCC Official Comments by ALI & the NCCUSL. Reproduced with permission of the PEB for the UCC. All rights reserved. Prior uniform statutory provision. — None. Purpose. — This section is designed to safeguard a person holding a right of action from any unintentional loss of rights by the ill-advised use of such terms as 'cancellation', 'rescission', or the like. Once a party's rights have accrued they are not to be lightly impaired by concessions made in business decency and without intention to forego them. Therefore, unless the cancellation of a contract expressly declares that it is 'without reservation of rights', or the like, it cannot be considered to be a renunciation under this section. Cross reference. — Section 1-107. 'Cancellation'. Section 2-106. 'Contract'. Section 1-201. ANNOTATIONSAm. Jur. 2d, A.L.R. and C.J.S. references. e considered to be a renunciation under this section. Cross reference. — Section 1-107. 'Cancellation'. Section 2-106. 'Contract'. Section 1-201. ANNOTATIONSAm. Jur. 2d, A.L.R. and C.J.S. references. — Measure and elements of recovery of buyer rescinding sale of domestic animal for seller's breach of warranty, 35 A.L.R.2d 1273. 77A C.J.S. Sales § 121 et seq.
New Mexico Legal Code