§ 336.2A-514 — Waiver of Lessee's Objections
Plain-Language Summary
A lessee who rejects leased goods can lose the right to rely on a defect if the lessee failed to point it out. Not naming a particular defect that a reasonable inspection would have revealed bars the lessee from using that defect to justify rejection or prove default if the lessor could have cured it once notified in time, or, between merchants, if the lessor made a written request for a full and final list of all defects relied on. Likewise, paying rent or other consideration against documents without reserving rights bars recovery for defects that were apparent in those documents.
336.2A-514 WAIVER OF LESSEE’S OBJECTIONS.
(1) In rejecting goods, a lessee’s failure to state a particular defect that is ascertainable by reasonable inspection precludes the lessee from relying on the defect to justify rejection or to establish default:
(a) if, stated seasonably, the lessor or the supplier could have cured it (section 336.2A-513); or
(b) between merchants if the lessor or the supplier after rejection has made a request in writing for a full and final written statement of all defects on which the lessee proposes to rely.
(2) A lessee’s failure to reserve rights when paying rent or other consideration against documents precludes recovery of the payment for defects apparent in the documents.
History:
1989 c 232 art 1 s 2A-514; 2004 c 162 art 5 s 13
History: History: 1989 c 232 art 1 s 2A-514; 2004 c 162 art 5 s 13