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LAWS OF MARYLAND

[Ch. 49

(c) Complies with the filing provisions of
the [subtitle] TITLE on secured transactions ([subtitle]
TITLE 9).

(4) Any "or return" term of a contract for sale is
to be treated as a separate contract for sale within the
statute of frauds section of this [subtitle] TITLE (§
2—201) and as contradicting the sale aspect of the
contract within the provisions of this [subtitle] TITLE
on parole or extrinsic evidence (§ 2—202).

2—327. Special incidents of sale on approval and sale or
return.

(1)    Under a sale on approval unless otherwise
agreed

(a)   Although the goods are identified to the
contract the risk of loss and the title do not pass to
the buyer until acceptance; and

(b)   Use of the goods consistent with the
purpose of trial is not acceptance but failure seasonably
to notify the seller of election to return the goods is
acceptance, and if the goods conform to the contract
acceptance of any part is acceptance of the whole; and

(c)    After due notification of election to
return, the return is at the seller's risk and expense
but a merchant buyer must follow any reasonable
instructions.

(2)   Under a sale or return unless otherwise agreed

(a)   The option to return extends to the whole
or any commercial unit of the goods while in
substantially their original condition, but must be
exercised seasonably; and

(b)    The return is at the buyer's risk and
expense.

2—328. Sale by auction.

(1)   In a sale by auction if goods are put up in
lots each lot is the subject of a separate sale.

(2)     A sale by auction is complete when the
auctioneer so announces by the fall of the hammer or in
other customary manner. Where a bid is made while the
hammer is falling in acceptance of a prior bid the
auctioneer may in his discretion reopen the bidding or
declare the goods sold under the bid on which the hammer