§ 25-2A-510. Installment lease contracts; rejection and default. - North Carolina Statutes

§25‑2A‑510.  Installment lease contracts; rejection and default.

(1)        Under aninstallment lease contract a lessee may reject any delivery that isnonconforming if the nonconformity substantially impairs the value of thatdelivery and cannot be cured or the nonconformity is a defect in the requireddocuments; but if the nonconformity does not fall within subsection (2) of thissection and the lessor or the supplier gives adequate assurance of its cure,the lessee must accept that delivery.

(2)        Whenever nonconformityor default with respect to one or more deliveries substantially impairs thevalue of the installment lease contract as a whole, there is a default withrespect to the whole.  But, the aggrieved party reinstates the installmentlease contract as a whole if the aggrieved party accepts a nonconformingdelivery without seasonably notifying of cancellation or brings an action withrespect only to past deliveries or demands performance as to future deliveries.(1993, c. 463, s. 1.)