47-2A310. Lessor's and lessee's rights when
goods become accessions


A. Goods are "accessions" when they are installed in or affixed to other goods.


B. 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 D.


C. 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 D 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.


D. The interest of a lessor or a lessee under a lease contract described in
subsection B or C is subordinate to the interest of:


1. 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


2. 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.


E. When under subsection B or subsections C and D 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 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
chapter, or if necessary to enforce his other rights and remedies under this chapter,
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.