§ 6A-2.1-406 - Procedure on excused performance.
SECTION 6A-2.1-406
§ 6A-2.1-406 Procedure on excusedperformance. – (1) If the lessee receives notification of a material or indefinite delay or anallocation justified under § 6A-2.1-405, the lessee may by writtennotification to the lessor as to any goods involved, and with respect to all ofthe goods if under an installment lease contract the value of the whole leasecontract is substantially impaired (§ 6A-2.1-510):
(a) Terminate the lease contract (§ 6A-2.1-505(2)); or
(b) Except in a finance lease that is not a consumer lease,modify the lease contract by accepting the available quota in substitution,with due allowance from the rent payable for the balance of the lease term forthe deficiency but without further right against the lessor.
(2) If, after receipt of a notification from the lessor under§ 6A-2.1-405, the lessee fails so to modify the lease agreement within areasonable time not exceeding 30 days, the lease contract lapses with respectto any deliveries affected.