§2A-528. Lessor's damages for non-acceptance, failure to pay, repudiation, or other

Link to law: http://legislature.vermont.gov/statutes/section/09A/002A/00528
Published: 2015

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Title

09A

:
Uniform Commercial Code






Chapter

002A

:
Leases











 

§

2A-528. Lessor's damages for non-acceptance, failure to pay, repudiation, or

other default

(1) Except as

otherwise provided with respect to damages liquidated in the lease agreement (§

2A-504) or otherwise determined pursuant to agreement of the parties (§§ 1-302

and 2A-503), if a lessor elects to retain the goods or a lessor elects to

dispose of the goods and the disposition is by lease agreement that for any

reason does not qualify for treatment under section 2A-527(2) of this title, or

is by sale or otherwise, the lessor may recover from the lessee as damages for

a default of the type described in section 2A-523(1) or 2A-523(3)(a) of this

title, or, if agreed, for other default of the lessee, (i) accrued and unpaid

rent as of the date of default if the lessee has never taken possession of the

goods, or, if the lessee has taken possession of the goods, as of the date the

lessor repossesses the goods or an earlier date on which the lessee makes a

tender of the goods to the lessor, (ii) the present value as of the date

determined under clause (i) of the total rent for the then remaining lease term

of the original lease agreement minus the present value as of the same date of

the market rent at the place where the goods are located computed for the same

lease term, and (iii) any incidental damages allowed under section 2A-530 of

this title, less expenses saved in consequence of the lessee's default.

(2) If the

measure of damages provided in subsection (1) of this section is inadequate to

put a lessor in as good a position as performance would have, the measure of

damages is the present value of the profit, including reasonable overhead, the

lessor would have made from full performance by the lessee, together with any

incidental damages allowed under section 2A-530 of this title, due allowance

for costs reasonably incurred and due credit for payments or proceeds of

disposition. (Added 1993, No. 158 (Adj. Sess.), § 10, eff. Jan. 1, 1995;

amended 2007, No. 99 (Adj. Sess.), § 10.)
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