If a lease contract requires goods identified when the lease contract is made, and the goods suffer casualty without fault of the lessee, the lessor or the supplier before delivery, or the goods suffer casualty before risk of loss passes to the lessee pursuant to the lease agreement or § 4-2A-219, then:
(a) if the loss is total, the lease contract is avoided; and
(b) if the loss is partial or the goods have so deteriorated as to no longer conform to the lease contract, the lessee may nevertheless demand inspection and at his or her option either treat the lease contract as avoided or, except in a finance lease that is not a consumer lease, accept the goods with due allowance from the rent payable for the balance of the lease term for the deterioration or the deficiency in quantity but without further right against the lessor.
Structure Arkansas Code
Title 4 - Business and Commercial Law
Subtitle 1 - Uniform Commercial Code
Part 2 - Formation and Construction of Lease Contract
§ 4-2A-202. Final written expression — Parol or extrinsic evidence
§ 4-2A-204. Formation in general
§ 4-2A-206. Offer and acceptance in formation of lease contract
§ 4-2A-208. Modification — Rescission — Waiver
§ 4-2A-209. Lessee under finance lease as beneficiary of supply contract
§ 4-2A-210. Express warranties
§ 4-2A-212. Implied warranty of merchantability
§ 4-2A-213. Implied warranty of fitness for particular purpose
§ 4-2A-214. Exclusion or modification of warranties
§ 4-2A-215. Cumulation and conflict of warranties express or implied
§ 4-2A-216. Third-party beneficiaries of express and implied warranties
§ 4-2A-218. Insurance and proceeds