2025 Session Last amended: 1989 session

§ 336.2A-403 — Retraction of Anticipatory Repudiation

Plain-Language Summary

This section lets a party who repudiated a lease take back (retract) that repudiation, but only until their next performance is due. Retraction is not allowed if, since the repudiation, the other party has already canceled the lease, materially changed position, or otherwise treated the repudiation as final. The retraction can be made by any method that clearly shows the party intends to perform, and it must include any assurance the other side demanded. A valid retraction restores the repudiating party's rights under the lease, with allowance to the other party for any delay the repudiation caused.

Practical Notes
If you backed out of a lease but have not yet missed your performance date, you may still be able to take it back, as long as the other side has not already canceled, changed their position, or treated your repudiation as final. To retract, clearly tell them you intend to perform and provide any assurance they asked for. A proper retraction puts you back in your lease position, but the other party gets credit for any delay your initial repudiation caused.