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Difference between UCC and Common Law

Difference between UCC and Common Law

In the United States, there are two predominant legal systems: the Uniform Commercial Code (UCC) and common law. Both of these systems have their own benefits and drawbacks, and it can be hard to determine which system is best for your specific needs. This blog post will compare and contrast UCC and common law in order to help you decide which system is right for you.

What is UCC Law?

The Uniform Commercial Code (UCC) is a set of laws governing commercial transactions. It was first promulgated in 1952 and has been amended several times since then. The UCC is divided into nine articles, each of which covers a different aspect of commercial law. Article 1, for instance, deals with the sale of goods, while Article 2 governs leases. The UCC is not a federal law, but rather a set of model laws that have been adopted by most states.

As such, there may be some minor variations from state to state. However, the overall goal of the UCC is to provide a uniform set of rules governing commercial transactions so as to promote certainty and predictability in the marketplace. Consequently, the UCC plays an important role in ensuring the smooth functioning of the commercial sector.

What is Common Law?

Common law is a type of law that is based on prior court decisions, rather than on statutes or written legislation. Common law originated in England, and it is still in use today in many Common law countries. Common law systems are used in the majority of countries around the world, including the United States, Canada, and Australia. One of the key features of common law systems is that they allow for precedent to be set by earlier court decisions.

This means that judges can look to past cases when deciding how to rule on a current case. Common law systems also tend to be more flexible than statutory law systems, as they allow for judicial interpretation and adaptation over time. As a result, common law systems are often seen as being more responsive to changing societal needs and values.

Difference between UCC and Common Law

  • There are two main types of law in the United States: common law and civil law. Common law is based on precedent, or past decisions of courts, while civil law is codified, or written down in a code. The Uniform Commercial Code (UCC), which governs contracts for the sale of goods, is an example of civil law.
  • The UCC is a set of laws that have been promulgated by the National Conference of Commissioners on Uniform State Laws and have been adopted, with some variation, by most states. The UCC seeks to simplify and clarify the law governing commercial transactions by providing a basic framework that can be fleshed out by court decisions and the parties to a contract.
  • Common law, on the other hand, is not codified in any one place. Rather, it is a body of case law that has been developed over time by courts interpreting statutes and constitutional provisions. Common law is generally more flexible than civil law, as it can be adapted to changing circumstances through judicial precedent.
  • However, flexibility can also be seen as a downside to common law, as it can be difficult to predict how a court will interpret a particular statute or constitutional provision.


The Uniform Commercial Code and common law are both systems of law that businesses can use to govern their transactions. However, there are some key differences between the two systems. UCC is a more concise system that offers more certainty in transactions, while common law is more flexible but also less certain. It’s important for businesses to understand the distinctions between these two legal frameworks so they can make informed decisions about which one will work best for them.

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