Sec 47-2A212. Implied warranty of merchantability  


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  • A. Except in a finance lease, a warranty that the goods will be merchantable is implied in a lease contract if the lessor is a merchant with respect to goods of that kind.

    B. Goods to be merchantable must be at least such as:

    1. Pass without objection in the trade under the description in the lease agreement;

    2. In the case of fungible goods, are of fair average quality within the description;

    3. Are fit for the ordinary purposes for which goods of that type are used;

    4. Run, within the variation permitted by the lease agreement, of even kind, quality and quantity within each unit and among all units involved;

    5. Are adequately contained, packaged and labeled as the lease agreement may require; and

    6. Conform to any promises or affirmations of fact made on the container or label.

    C. Other implied warranties may arise from course of dealing or usage of trade.