§ 26-1-2.1-512 — Lessee's duties as to rightfully rejected goods

Indiana § 26-1-2.1-512

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 2.1: Leases

Text

(1) Except as otherwise provided with
respect to goods that threaten to decline in value speedily (IC 26-1-2.1-511) and subject to any security interest of a lessee (IC 26-1-2.1-508(5)):
(a) the lessee, after rejection of goods in the lessee's possession,
shall hold them with reasonable care at the lessor's or the
supplier's disposition for a reasonable time after the lessee's
seasonable notification of rejection;
(b) if the lessor or the supplier gives no instructions within a
reasonable time after notification of rejection, the lessee may
store the rejected goods for the lessor's or the supplier's account
or ship them to the lessor or the supplier or dispose of them for
the lessor's or the supplier's account with reimbursement in the
manner provided in IC 26-1-2.1-511; but
(c) the lessee has no further obligations with regard to goods
rightfully rejected.
(2) Action by the lessee pursuant to subsection (1) is not acceptance
or conversion.

Legislative History

As added by P.L.189-1991, SEC.3.