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My Bear Lair is a store where children can watch as a custom-made teddy bear is manufactured for them by the Bear-ma-tron. The Bear-ma-tron is

  1. My Bear Lair is a store where children can watch as a custom-made teddy bear is manufactured for them by the Bear-ma-tron. The Bear-ma-tron is made to look like one giant machine, but it actually is a series of robotic manufacturing modules bolted together with fancifully shaped fiberglass panels painted in bright colors.

My Bear Lair entered into a contract with Hexetron Automated Plush Systems LLC to purchase $487,000 worth of robotic manufacturing modules and to install them the new My Bear Lair store in The District, a new upscale shopping mall in a tourist-heavy part of San Frangeles. For My Bear Lair, the installation was highly important, since the modules must be set-up exactly the right way for the fiberfill, accessories, and various teddy-bear components to move from one machine to the other in a synchronized way. Calibrating the software to make the machines work together is very complicated and requires a highly competent process engineer. Testing is also key, so that manufacturing-process problems can be found and overcome through further calibration.

When the modules were delivered to the My Bear Lair store in The District, Hexetron workers merely arranged the machines according to the blueprints and plugged them in so that they would power up. Then the Hexetron people left. When the My Bear Lair employees stocked the system with parts and materials so the Bear-ma-tron could make bears, they could not get a single teddy bear to emerge. Fiberfill spewed from gaps between modules, materials jammed, and components got stuck as they traveled through the system. Children cried.

In a dispute between My Bear Lair and Hexetron Automated Plush Systems over this deal, does the UCC or the common-law govern? What arguments are plausible? You must make a plausible argument for both sides based on the legal rule that applies to this question.

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