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February 24, 2005

Dealer Management Systems v. Design Automotive Group

Dealer Management Systems v. Design Automotive Group, Ill. Ct. App. Jan. 2005. Vendor sells $20k of software and $15k of services using an unsigned purchase order. Customer doesn’t pay. Vendor sues. Customer defends claiming Statute of Frauds. Court concludes that this transaction is a UCC sale of goods, citing a large number of cases treating software as a UCC good and going out of its way to include customized software as part of a good. As a result, UCC SOF applies and vendor loses.

Posted by Eric at February 24, 2005 08:13 PM | Licensing/Contracts