2.609 – RIGHT TO ADEQUATE ASSURANCE OF PERFORMANCE. (a) A
Texas Business and Commerce Code § 2.609
Summary
This law allows a party to a sales contract to request assurance of performance if they have reasonable concerns about the other party's ability to fulfill their obligations. If such assurance is not provided, the concerned party may suspend their own performance until they receive it.
Parties must ensure each other's performance expectations are met.
A written demand for assurance can be made if insecurity arises.
Suspension of performance is allowed until assurance is received.
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In simple terms: Learn about Texas's RIGHT TO ADEQUATE ASSURANCE OF PERFORMANCE. (a) A law, including definitions, penalties, and legal implications.. This means people must follow this rule, and breaking it can lead to criminal penalties.
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