A buyer in the ordinary course of business or a sublessee in the ordinary course of business from a lessee who is a merchant dealing in goods of that kind to whom the goods were entrusted by the lessor obtains, to the extent of the interest transferred, all of the lessor's and lessee's rights to the goods, and takes free of the existing lease contract.
A buyer or sublessee from the lessee of goods that are subject to an existing lease contract and are covered by a certificate of title issued under a statute of this state or of another jurisdiction takes no greater rights than those provided both by this section and by the certificate of title statute.
Structure 2021 Tennessee Code
Title 47 - Commercial Instruments and Transactions
Part 3 - Effect of Lease Contract
§ 47-2A-301. Enforceability of Lease Contract
§ 47-2A-302. Title to and Possession of Goods
§ 47-2A-304. Subsequent Lease of Goods by Lessor
§ 47-2A-305. Sale or Sublease of Goods by Lessee
§ 47-2A-306. Priority of Certain Liens Arising by Operation of Law
§ 47-2A-309. Lessor's and Lessee's Rights When Goods Become Fixtures
§ 47-2A-310. Lessor's and Lessee's Rights When Goods Become Accessions