Padma Paper Mills Ltd converts waste paper into usable paper
Padma Paper Mills, Ltd., converts waste paper into usable paper. In 2007, Padma entered into a con-tract with Universal Exports, Inc., under which Universal Exports certified that it would ship white envelope cuttings, and Padma paid $ 131,000 for the paper. When the shipment arrived, however, Padma discovered that Universal Exports had sent multicolored paper plates and other brightly colored paper products. Padma accepted the goods but notified Universal Exports that they did not conform to the con-tract. Can Padma recover even though it accepted the goods knowing that they were nonconforming? If so, how?

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