§ 2A102 — Scope

(a) Leases generally.--This division applies to any transaction, regardless of form, that creates a lease; and, in the case of a hybrid lease, this division applies to the extent provided in subsection (b).

(b) Hybrid leases.--In a hybrid lease:

(1) if the lease-of-goods aspects do not predominate:

(i) only the provisions of this division which relate primarily to the lease-of-goods aspects of the transaction apply, and the provisions that relate primarily to the transaction as a whole do not apply;

(ii) section 2A209 (relating to lessee under finance lease as beneficiary of supply contract) applies if the lease is a finance lease; and

(iii) section 2A407 (relating to irrevocable promises: finance leases) applies to the promises of the lessee in a finance lease to the extent the promises are consideration for the right to possession and use of the leased goods; and

(2) if the lease-of-goods aspects predominate, this division applies to the transaction, but does not preclude application in appropriate circumstances of other law to aspects of the lease which do not relate to the lease of goods.

Legislative History

(July 1, 2024, P.L.450, No.41, eff. 60 days) 2024 Amendment.See section 1 of Act 41 in the appendix to this title for special provisions relating to findings and declarations.