KRS 355.2-613: Casualty to identified goods.

Where the contract requires for its performance goods identified when the contract is

made, and the goods suffer casualty without fault of either party before the risk of loss

passes to the buyer, or in a proper case under a "no arrival, no sale" term (KRS 355.2-

324) then

(a) if the loss is total the contract is avoided; and

(b) if the loss is partial or the goods have so deteriorated as no longer to conform

to the contract the buyer may nevertheless demand inspection and at his

option either treat the co ntract as avoided or accept the goods with due

allowance from the contract price for the deterioration or the deficiency in

quantity but without further right against the seller.