Sec. 42-421. Early termination liability.

      Sec. 42-421. Early termination liability. (a) A consumer lease may provide a measure or formula for the lessee's liability on early termination, but only at an amount reasonable in light of the anticipated or actual harm caused by the early termination, the difficulties of proof of loss and the inconvenience or unfeasibility of otherwise obtaining an adequate remedy. An early termination charge does not include:

      (1) Unpaid periodic payments, or unpaid late, delinquency or default charges, accrued through the date of early termination;

      (2) Charges provided under the lease for excess wear and tear or excess mileage, but only to the extent the excess wear and tear or excess mileage are not otherwise accounted for in the early termination charge;

      (3) Other unpaid amounts for which the lessee is responsible under the lease;

      (4) Official fees and taxes imposed in connection with lease termination; or

      (5) The greater of a reasonable disposition fee in a fixed amount disclosed in the lease or the reasonable costs incurred in retaking, storing, preparing for disposition and disposing of the goods.

      (b) A charge imposed on a lessee for early termination of a consumer lease other than an open-end consumer lease may not exceed the total of the remaining periodic payments scheduled under the lease.

      (P.A. 02-81, S. 32.)

      History: P.A. 02-81 effective July 1, 2003.