There is a newer version of the Kentucky Revised Statutes
2009 Kentucky Revised Statutes
Article 2A Leases
355.2A.310 Lessor's and lessee's rights when goods become accessions.
Download pdf(2) The interest of a lessor or a lessee under a lease contract entered into before the goods became accessions is superior to all interests in the whole except as stated in
subsection (4). (3) The interest of a lessor or a lessee under a lease contract entered into at the time or after the goods became accessions is superior to all subsequently acquired interests
in the whole except as stated in subsection (4) but is subordinate to interests in the
whole existing at the time the lease contract was made unless the holders of such
interests in the whole have in writing consented to the lease or disclaimed an
interest in the goods as part of the whole. (4) The interest of a lessor or a lessee under a lease contract described in subsection (2) or (3) is subordinate to the interest of:
(a) A buyer in the ordinary course of business or a lessee in the ordinary course of business of any interest in the whole acquired after the goods became
accessions; or (b) A creditor with a security interest in the whole perfected before the lease contract was made to the extent that the creditor makes subsequent advances
without knowledge of the lease contract. (5) When under subsections (2) or (3) and (4) a lessor or a lessee of accessions holds an interest that is superior to all interests in the whole, the lessor or the lessee may:
(a) On default, expiration, termination, or cancellation of the lease contract by the other party but subject to the provisions of the lease contract and this article;
or (b) If necessary to enforce his other rights and remedies under this article; remove the goods from the whole, free and clear of all interests in the whole, but he
must reimburse any holder of an interest in the whole who is not the lessee and who
has not otherwise agreed for the cost of repair of any physical injury but not for any
diminution in value of the whole caused by the absence of the goods removed or by
any necessity for replacing them. A person entitled to reimbursement may refuse
permission to remove until the party seeking removal gives adequate security for the
performance of this obligation. Effective: January 1, 1991
History: Created 1990 Ky. Acts ch. 363, sec. 40, effective January 1, 1991.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.