824                                 LAWS OF MARYLAND                         [CH. 538

made impracticable by the occurrence of a contingency the non-
occurrence of which was a basic assumption on which the contract
was made or by compliance in good faith with any applicable foreign
or domestic governmental regulation or order whether or not it later
proves to be invalid.

(b)   Where the causes mentioned in paragraph (a) affect only a
part of the seller's capacity to perform, he must allocate production
and deliveries among his customers but may at his option include
regular customers not then under contract as well as his own require-
ments for further manufacture. He may so allocate in any manner
which is fair and reasonable.

(c)   The seller must notify the buyer seasonably that there will be
delay or non-delivery and, when allocation is required under para-
graph (b), of the estimated quota thus made available for the buyer.

2—616. Procedure on Notice Claiming Excuse.

(1)   Where the buyer receives notification of a material or indefi-
nite delay or an allocation justified under the preceding section he
may by written notification to the seller as to any delivery concerned,
and where the prospective deficiency substantially impairs the value
of the whole contract under the provisions of this Sub-title relating
to breach of installment contracts (Section 2—612), then also as to
the whole,

(a)  terminate and thereby discharge any unexecuted portion of
the contract; or

(b)  modify the contract by agreeing to take his available quota in
substitution.

(2)  If after receipt of such notification from the seller the buyer
fails so to modify the contract within a reasonable time not exceeding
thirty days the contract lapses with respect to any deliveries affected.

(3)   The provisions of this section may not be negated by agree-
ment except insofar as the seller has assumed a greater obligation
under the preceding section.

Part 7

Remedies

2—701. Remedies for Breach of Collateral Contracts Not Impaired.

Remedies for breach of any obligation or promise collateral or
ancillary to a contract for sale are not impaired by the provisions
of this Sub-title.

2—702. Seller's Remedies on Discovery of Buyer's Insolvency.

(1)   Where the seller discovers the buyer to be insolvent he may
refuse delivery except for cash including payment for all goods there-
tofore delivered under the contract, and stop delivery under this
Sub-title (Section 2—705).

(2)  Where the seller discovers that the buyer has received goods
on credit while insolvent he may reclaim the goods upon demand
made within ten days after the receipt, but if misrepresentation of