Good faith means all parties to an acquisition acted honestly, fairly, and without malice. Have you ever sold a car to a private party? Let’s say, for example, you completed all the DMV requirements (including signing over the title or pink slip). The private party provides you with a check for the sale. You deposit the check into your account and in a few days later the bank calls to inform you that the check was rejected for insufficient funds. You then find out it was an honest mistake and receive cash for the transaction from the private party. The buyer acted in good faith. What does good faith mean under the Uniform Commercial Code (UCC)?
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