(1) A term providing that one party or his or her successor in interest may accelerate payment or performance or require collateral or additional collateral “at will” or “when he or she deems himself or herself insecure” or in words of similar import must be construed to mean that he or she has power to do so only if he or she in good faith believes that the prospect of payment or performance is impaired.
(2) With respect to a consumer lease, the burden of establishing lack of good faith under subsection (1) is on the party who exercised the power; otherwise the burden of establishing lack of good faith is on the party against whom the power has been exercised.
Structure Arkansas Code
Title 4 - Business and Commercial Law
Subtitle 1 - Uniform Commercial Code
§ 4-2A-103. Definitions and index of definitions
§ 4-2A-104. Leases subject to other law
§ 4-2A-105. Territorial application of chapter to goods covered by certificate of title
§ 4-2A-107. Waiver or renunciation of claim or right after default
§ 4-2A-109. Option to accelerate at will
§ 4-2A-110. Terminal rental adjustment clauses for vehicle leases — Not sales or security interests