2006 Minnesota Code
Chapters 324 - 338 Trade Regulations, Consumer Protection
Chapter 336 Uniform Commercial Code
Section 336.2A-220 EFFECT OF DEFAULT ON RISK OF LOSS.
336.2A-220 EFFECT OF DEFAULT ON RISK OF LOSS.
(1) Where risk of loss is to pass to the lessee and the time of passage is not stated:
(a) If a tender or delivery of goods so fails to conform to the lease contract as to give a right
of rejection, the risk of their loss remains with the lessor, or, in the case of a finance lease, the
supplier, until cure or acceptance.
(b) If the lessee rightfully revokes acceptance, the lessee, to the extent of any deficiency in
the lessee's effective insurance coverage, may treat the risk of loss as having remained with the
lessor from the beginning.
(2) Whether or not risk of loss is to pass to the lessee, if the lessee as to conforming goods
already identified to a lease contract repudiates or is otherwise in default under the lease contract,
the lessor, or, in the case of a finance lease, the supplier, to the extent of any deficiency in the
lessor's or supplier's effective insurance coverage may treat the risk of loss as resting on the
lessee for a commercially reasonable time.
History: 1989 c 232 art 1 s 2A-220
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