47-2A221

47-2A221. Casualty to identified
goods

If a lease contract requires goods identified when the lease contract is made, and
the goods suffer casualty without fault of the lessee, the lessor or the supplier before
delivery, or the goods suffer casualty before risk of loss passes to the lessee pursuant
to the lease agreement or section 47-2A219, then:

1. If the loss is total, the lease contract is avoided; and

2. If the loss is partial or the goods have so deteriorated as to no longer conform
to the lease contract, the lessee may nevertheless demand inspection and at his option
either treat the lease contract as avoided or, except in a finance lease that is not a
consumer lease, accept the goods with due allowance from the rent payable for the balance
of the lease term for the deterioration or the deficiency in quantity but without further
right against the lessor.