KRS 355.2-706: Seller's resale including contract for resale.

(1) Under the conditions stated in KRS 355.2 -703 on seller's remedies, the seller may

resell the goods concerned or the undelivered balance thereof. Where the resale is

made in good faith and in a commercially reasonable manner the seller may recover

the diffe rence between the resale price and the contract price together with any

incidental damages allowed under the provisions of this article (KRS 355.2 -710),

but less expenses saved in consequence of the buyer's breach.

(2) Except as otherwise provided in subse ction (3) or unless otherwise agreed resale

may be at public or private sale including sale by way of one (1) or more contracts

to sell or of identification to an existing contract of the seller. Sale may be as a unit

or in parcels and at any time and place and on any terms but every aspect of the sale

including the method, manner, time, place and terms must be commercially

reasonable. The resale must be reasonably identified as referring to the broken

contract, but it is not necessary that the goods be in existence or that any or all of

them have been identified to the contract before the breach.

(3) Where the resale is at private sale the seller must give the buyer reasonable

notification of his intention to resell.

(4) Where the resale is at public sale

(a) only identified goods can be sold except where there is a recognized market

for a public sale of futures in goods of the kind; and

(b) it must be made at a usual place or market for public sale if one is reasonably

available and except in the case of go ods which are perishable or threaten to

decline in value speedily the seller must give the buyer reasonable notice of

the time and place of the resale; and

(c) if the goods are not to be within the view of those attending the sale the

notification of sale must state the place where the goods are located and

provide for their reasonable inspection by prospective bidders; and

(d) the seller may buy.

(5) A purchaser who buys in good faith at a resale takes the goods free of any rights of

the original buyer even though the seller fails to comply with one (1) or more of the

requirements of this section.

(6) The seller is not accountable to the buyer for any profit made on any resale. A

person in the position of a seller (KRS 355.2 -707) or a buyer who has rightful ly

rejected or justifiably revoked acceptance must account for any excess over the

amount of his security interest, as hereinafter defined (subsection (3) of KRS 355.2-

711).