WILLIAM DONALD SCHAEFER, Governor                           S.B. 147

(C)     WITHHOLD DELIVERY OF THE GOODS AND TAKE POSSESSION OF
GOODS PREVIOUSLY DELIVERED (§ 2A-525);

(D)     STOP DELIVERY OF THE GOODS BY ANY BAILEE (§ 2A-526);

(E)     DISPOSE OF THE GOODS AND RECOVER DAMAGES (§ 2A-527), OR
RETAIN THE GOODS AND RECOVER DAMAGES (§ 2A-528), OR IN A PROPER CASE
RECOVER RENT (§ 2A-529);

(F)      EXERCISE ANY OTHER RIGHTS OR PURSUE ANY OTHER REMEDY
PROVIDED IN THE LEASE CONTRACT.

(2)      IF A LESSOR DOES NOT FULLY EXERCISE A RIGHT OR OBTAIN A REMEDY
TO WHICH THE LESSOR IS ENTITLED UNDER SUBSECTION (1), THE LESSOR MAY
RECOVER THE LOSS RESULTING IN THE ORDINARY COURSE OF EVENTS FROM THE
LESSEE'S DEFAULT AS DETERMINED IN ANY REASONABLE MANNER, TOGETHER
WITH INCIDENTAL DAMAGES, LESS EXPENSES SAVED IN CONSEQUENCE OF THE
LESSEE'S BREACH.

(3)      IF A LESSEE IS OTHERWISE IN DEFAULT UNDER A LEASE CONTRACT, THE
LESSOR MAY EXERCISE THE RIGHTS AND PURSUE THE REMEDIES PROVIDED IN THE
LEASE CONTRACT WHICH MAY INCLUDE A RIGHT TO CANCEL THE LEASE. IN
ADDITION, UNLESS OTHERWISE PROVIDED IN THE LEASE CONTRACT:

(A)     IF THE DEFAULT SUBSTANTIALLY IMPAIRS THE VALUE OF THE
LEASE CONTRACT TO THE LESSOR, THE LESSOR MAY EXERCISE THE RIGHTS AND
PURSUE THE REMEDIES PROVIDED IN SUBSECTION (1) OR (2); OR

(B)      IF THE DEFAULT DOES NOT SUBSTANTIALLY IMPAIR THE VALUE OF
THE LEASE CONTRACT TO THE LESSOR, THE LESSOR MAY RECOVER AS PROVIDED
IN SUBSECTION (2).

2A-524. LESSOR'S RIGHT TO IDENTIFY GOODS TO LEASE CONTRACT

(1)      A LESSOR AGGRIEVED UNDER § 2A-523 MAY:

(A)     IDENTIFY TO THE LEASE CONTRACT CONFORMING GOODS NOT
ALREADY IDENTIFIED IF AT THE TIME THE LESSOR LEARNED OF THE DEFAULT
THEY WERE IN THE LESSOR'S OR THE SUPPLIER'S POSSESSION OR CONTROL; AND

(B)     DISPOSE OF GOODS (§ 2A-527(1)) THAT DEMONSTRABLY HAVE BEEN
INTENDED FOR THE PARTICULAR LEASE CONTRACT EVEN THOUGH THOSE GOODS
ARE UNFINISHED.

(2)      IF THE GOODS ARE UNFINISHED, IN THE EXERCISE OF REASONABLE
COMMERCIAL JUDGMENT FOR THE PURPOSE OF AVOIDING LOSS AND OF EFFECTIVE
REALIZATION, AN AGGRIEVED LESSOR OR THE SUPPLIER MAY EITHER COMPLETE
MANUFACTURE AND WHOLLY IDENTIFY THE GOODS TO THE LEASE CONTRACT OR
CEASE MANUFACTURE AND LEASE, SELL, OR OTHERWISE DISPOSE OF THE GOODS
FOR SCRAP OR SALVAGE VALUE OR PROCEED IN ANY OTHER REASONABLE
MANNER.

2A-525. LESSOR'S RIGHT TO POSSESSION OF GOODS

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