8.2A-219 - A-219. Risk of loss. - Virginia Statutes

§ 8.2A-219. Risk of loss.

(1) Except in the case of a finance lease, risk of loss is retained by thelessor and does not pass to the lessee. In the case of a finance lease, riskof loss passes to the lessee.

(2) Subject to the provisions of this Title on the effect of default on riskof loss (§ 8.2A-220), if risk of loss is to pass to the lessee and the timeof passage is not stated, the following rules apply:

(a) If the lease contract requires or authorizes the goods to be shipped bycarrier

(i) and it does not require delivery at a particular destination, the risk ofloss passes to the lessee when the goods are duly delivered to the carrier;but

(ii) if it does require delivery at a particular destination and the goodsare there duly tendered while in the possession of the carrier, the risk ofloss passes to the lessee when the goods are there duly so tendered as toenable the lessee to take delivery.

(b) If the goods are held by a bailee to be delivered without being moved,the risk of loss passes to the lessee on acknowledgment by the bailee of thelessee's right to possession of the goods.

(c) In any case not within subdivision (a) or (b) of this subsection, therisk of loss passes to the lessee on the lessee's receipt of the goods if thelessor, or, in the case of a finance lease, the supplier, is a merchant;otherwise the risk passes to the lessee on tender of delivery.

(1991, c. 536.)