Indiana § 26-1-2.1-310 Lessor's and lessee's rights when goods become accessions

Indiana Statutes

§ 26-1-2.1-310 — Lessor's and lessee's rights when goods become accessions

Indiana § 26-1-2.1-310

Title 26COMMERCIAL LAW

Art. 1UNIFORM COMMERCIAL CODE

Ch. 2.1Leases

This text of Indiana § 26-1-2.1-310 (Lessor's and lessee's rights when goods become accessions) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 26-1-2.1-310 (2026).

Text

(1)Goods are "accessions" when they are installed in or affixed to other goods.

(2)The interest of a lessor or a lessee under a lease contract entered into before the goods became accessions is superior to all interests in the whole except as stated in subsection (4).

(3)The interest of a lessor or a lessee under a lease contract entered into at the time or after the goods became accessions is superior to all subsequently acquired interests in the whole except as stated in subsection (4) but is subordinate to interests in the whole existing at the time the lease contract was made unless the holders of such interests in the whole have in writing consented to the lease or disclaimed an interest in the goods as part of the whole.

(4)The interest of a lessor or a lessee under a lease contr

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(1) Goods are "accessions" when they are
installed in or affixed to other goods.
(2) The interest of a lessor or a lessee under a lease contract entered
into before the goods became accessions is superior to all interests in
the whole except as stated in subsection (4).
(3) The interest of a lessor or a lessee under a lease contract entered
into at the time or after the goods became accessions is superior to all
subsequently acquired interests in the whole except as stated in
subsection (4) but is subordinate to interests in the whole existing at the
time the lease contract was made unless the holders of such interests in
the whole have in writing consented to the lease or disclaimed an
interest in the goods as part of the whole.
(4) The interest of a lessor or a lessee under a lease contract
described in subsection (2) or (3) is subordinate to the interest of:
(a) a buyer in the ordinary course of business or a lessee in the
ordinary course of business of any interest in the whole acquired
after the goods became accessions; or
(b) a creditor with a security interest in the whole perfected before
the lease contract was made to the extent that the creditor makes
subsequent advances without knowledge of the lease contract.
(5) When under subsections (2) or (3) and (4) a lessor or a lessee of
accessions holds an interest that is superior to all interests in the whole,
the lessor or the lessee may:
(a) on default, expiration, termination, or cancellation of the lease
contract by the other party but subject to the provisions of the
lease contract and IC 26-1-2.1; or
(b) if necessary to enforce the lessor's or the lessee's other rights
and remedies under IC 26-1-2.1;
remove the goods from the whole, free and clear of all interests in the
whole, but the lessor or lessee must reimburse any holder of an interest
in the whole who is not the lessee and who has not otherwise agreed for
the cost of repair of any physical injury but not for any diminution in
value of the whole caused by the absence of the goods removed or by
any necessity for replacing them. A person entitled to reimbursement
may refuse permission to remove until the party seeking removal gives
adequate security for the performance of this obligation.