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<section article="gcl" article_name="Commercial Law" number="22-708" title_number="22" title_name="Maryland Uniform Computer Information Transactions Act" subtitle_number="7" subtitle_name="Breach of Contract; General; Defective Copies; Repudiation and Assurances">
  <level label="a">
    <text>A contract imposes an obligation on each party not to impair the other’s expectation of receiving due performance. If reasonable grounds for insecurity arise with respect to the performance of either party, the aggrieved party may:</text>
    <level label="1">
      <text>Demand in a record adequate assurance of due performance; and</text>
    </level>
    <level label="2">
      <text>Until that assurance is received, if commercially reasonable, suspend any performance, other than with respect to contractual use terms, for which the agreed return performance has not been received.</text>
    </level>
  </level>
  <level label="b">
    <text>Between merchants, the reasonableness of grounds for insecurity and the adequacy of any assurance offered is determined according to commercial standards.</text>
  </level>
  <level label="c">
    <text>Acceptance of any improper delivery or payment does not impair an aggrieved party’s right to demand adequate assurance of future performance.</text>
  </level>
  <level label="d">
    <text>After receipt of a justified demand under subsection (a) of this section, failure, within a reasonable time not exceeding 30 days, to provide assurance of due performance which is adequate under the circumstances of the particular case is a repudiation of the contract under § 22-709 of this subtitle.</text>
  </level>
</section>
