WILLIAM DONALD SCHAEFER, Governor                            Ch. 535

(N) "LESSEE" MEANS A PERSON WHO ACQUIRES THE RIGHT TO
POSSESSION AND USE OF GOODS UNDER A LEASE. UNLESS THE CONTEXT CLEARLY
INDICATES OTHERWISE, THE TERM INCLUDES A SUBLESSEE.

(O) "LESSEE IN ORDINARY COURSE OF BUSINESS" MEANS A PERSON
WHO IN GOOD FAITH AND WITHOUT KNOWLEDGE THAT THE LEASE TO HIM (OR
HER) IS IN VIOLATION OF THE OWNERSHIP RIGHTS OR SECURITY INTEREST OR
LEASEHOLD INTEREST OF A THIRD PARTY IN THE GOODS LEASES IN ORDINARY
COURSE FROM A PERSON IN THE BUSINESS OF SELLING OR LEASING GOODS OF
THAT KIND BUT DOES NOT INCLUDE A PAWNBROKER. "LEASING" MAY BE FOR CASH
OR BY EXCHANGE OF OTHER PROPERTY OR ON SECURED OR UNSECURED CREDIT
AND INCLUDES RECEIVING GOODS OR DOCUMENTS OF TITLE UNDER A
PREEXISTING LEASE CONTRACT BUT DOES NOT INCLUDE A TRANSFER IN BULK OR
AS SECURITY FOR OR IN TOTAL OR PARTIAL SATISFACTION OF A MONEY DEBT.

(P) "LESSOR" MEANS A PERSON WHO TRANSFERS THE RIGHT TO
POSSESSION AND USE OF GOODS UNDER A LEASE. UNLESS THE CONTEXT CLEARLY
INDICATES OTHERWISE, THE TERM INCLUDES A SUBLESSOR.

(Q) "LESSOR'S RESIDUAL INTEREST" MEANS THE LESSOR'S INTEREST IN
THE GOODS AFTER EXPIRATION, TERMINATION, OR CANCELLATION OF THE LEASE
CONTRACT.

(R) "LIEN" MEANS A CHARGE AGAINST OR INTEREST IN GOODS TO
SECURE PAYMENT OF A DEBT OR PERFORMANCE OF AN OBLIGATION, BUT THE
TERM DOES NOT INCLUDE A SECURITY INTEREST.

(S) "LOT" MEANS A PARCEL OR A SINGLE ARTICLE THAT IS THE
SUBJECT MATTER OF A SEPARATE LEASE OR DELIVERY, WHETHER OR NOT IT IS
SUFFICIENT TO PERFORM THE LEASE CONTRACT.

(T) "MERCHANT LESSEE" MEANS A LESSEE THAT IS A MERCHANT WITH
RESPECT TO GOODS OF THE KIND SUBJECT TO THE LEASE.

(U) "PRESENT VALUE" MEANS THE AMOUNT AS OF A DATE CERTAIN OF
ONE OR MORE SUMS PAYABLE IN THE FUTURE, DISCOUNTED TO THE DATE
CERTAIN. THE DISCOUNT IS DETERMINED BY THE INTEREST RATE SPECIFIED BY
THE PARTIES IF THE RATE WAS NOT MANIFESTLY UNREASONABLE AT THE TIME
THE TRANSACTION WAS ENTERED INTO; OTHERWISE, THE DISCOUNT IS
DETERMINED BY A COMMERCIALLY REASONABLE RATE THAT TAKES INTO
ACCOUNT THE FACTS AND CIRCUMSTANCES OF EACH CASE AT THE TIME THE
TRANSACTION WAS ENTERED INTO.

(V) "PURCHASE" INCLUDES TAKING BY SALE, LEASE. MORTGAGE.
SECURITY INTEREST, PLEDGE, GIFT, OR ANY OTHER VOLUNTARY TRANSACTION
CREATING AN INTEREST IN GOODS.

(W) "SUBLEASE" MEANS A LEASE OF GOODS THE RIGHT TO POSSESSION
AND USE OF WHICH WAS ACQUIRED BY THE LESSOR AS A LESSEE UNDER AN
EXISTING LEASE.

- 2507 -