2006 New York Code - Lessor\'s Right To Identify Goods To Lease Contract.

 
  Section 2-A-524. Lessor's Right to Identify Goods to Lease Contract.
    (1)  After  default by the lessee under the lease contract of the type
  described in Section 2-A-523  (1)  or  Section  2-A-523  (3)(a)  or,  if
  agreed, after other default by the lessee, the lessor may:
         (a) identify  to  the lease contract conforming goods not already
             identified if at the time the lessor learned of  the  default
             they  were  in  the  lessor's or the supplier's possession or
             control; and
         (b) dispose of goods (Section 2-A-527(1)) that demonstrably  have
             been  intended  for the particular lease contract even though
             those goods are unfinished.
    (2) If the  goods  are  unfinished,  in  the  exercise  of  reasonable
  commercial  judgment  for the purposes of avoiding loss and of effective
  realization, an aggrieved lessor or the  supplier  may  either  complete
  manufacture and wholly identify the goods to the lease contract or cease
  manufacture and lease, sell, or otherwise dispose of the goods for scrap
  or salvage value or proceed in any other reasonable manner.