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Can you summarize NHRS 382-A:2A-220?
UNIFORM COMMERCIAL CODE > Effect of Default on Risk of Loss.
Short Summary
This provision, found in the New Hampshire Revised Statutes under the Uniform Commercial Code, addresses the effect of default on the risk of loss in lease contracts. If a tender or delivery of goods fails to conform to the lease contract and gives the lessee a right of rejection, the risk of loss remains with the lessor or supplier until cure or acceptance. If the lessee rightfully revokes acceptance, they may treat the risk of loss as having remained with the lessor from the beginning, to the extent of any deficiency in their effective insurance coverage. Additionally, if the lessee repudiates or is in default under the lease contract for conforming goods already identified, the lessor or supplier may treat the risk of loss as resting on the lessee for a commercially reasonable time, to the extent of any deficiency in their effective insurance coverage. This provision provides clarity on the allocation of risk of loss in lease contracts in the absence of specific provisions regarding the time of passage of risk.
Whom does it apply to?
Lessees and lessors in lease contracts
What does it govern?
Effect of Default on Risk of Loss
What are exemptions?
No exemptions are mentioned
What are the Penalties?
No penalties are mentioned
Jurisdiction
New Hampshire