§ 25-2A-503. Modification or impairment of rights and remedies. - North Carolina Statutes

§25‑2A‑503.  Modification or impairment of rights and remedies.

(1)        Except as otherwiseprovided in this Article, the lease agreement may include rights and remediesfor default in addition to or in substitution for those provided in thisArticle and may limit or alter the measure of damages recoverable under thisArticle.

(2)        Resort to a remedyprovided under this Article or in the lease agreement is optional unless theremedy is expressly agreed to be exclusive.  If circumstances cause anexclusive or limited remedy to fail of its essential purpose, or provision foran exclusive remedy is unconscionable, remedy may be had as provided in thisArticle.

(3)        Consequentialdamages may be liquidated under G.S. 25‑2A‑504, or may otherwise belimited, altered, or excluded unless the limitation, alteration, or exclusionis unconscionable.  Limitation, alteration, or exclusion of consequentialdamages for injury to the person in the case of consumer goods is prima facieunconscionable but limitation, alteration, or exclusion of damages where theloss is commercial is not prima facie unconscionable.

(4)        Rights and remedieson default by the lessor or the lessee with respect to any obligation orpromise collateral or ancillary to the lease contract are not impaired by thisArticle. (1993, c. 463, s. 1.)