(a) In rejecting goods, a lessee’s failure to state a particular defect that is ascertainable by reasonable inspection precludes the lessee from relying on the defect to justify rejection or to establish default:
(1) If, stated seasonably, the lessor or the supplier could have cured it (§ 28:2A-513); or
(2) Between merchants if the lessor or the supplier after rejection has made a request in writing for a full and final written statement of all defects on which the lessee proposes to rely.
(b) A lessee’s failure to reserve rights when paying rent or other consideration against documents precludes recovery of the payment for defects apparent in the documents.
(July 22, 1992, D.C. Law 9-128, § 2(b), 39 DCR 3830; Apr. 27, 2013, D.C. Law 19-299, § 4(d), 60 DCR 2634.)
1981 Ed., § 28:2A-514.
The 2013 amendment by D.C. Law 19-299 substituted “apparent in the documents” for “apparent on the face of the documents” in (b).
Uniform Statutory Source:Section 2-605.
Changes: Revised to reflect leasing practices and terminology.
Purposes: The principles applicable to the commercial practice of payment against documents (subsection 2) are explained in official comment 4 to Section 2-605, the statutory analogue to this section.
Cross Reference:Section 2-605 official comment 4.
Definitional Cross References: “Between merchants”. Section 2-104(3).
“Goods”. Section 2A-103(1)(h).
“Lessee”. Section 2A-103(1)(n).
“Lessor”. Section 2A-103(1)(p).
“Rights”. Section 1-201(36).
“Seasonably”. Section 1-204(3).
“Supplier”. Section 2A-103(1)(x).
“Writing”. Section 1-201(46).
Structure District of Columbia Code
Title 28 - Commercial Instruments and Transactions. [Enacted title]
Subtitle I - Uniform Commercial Code
§ 28:2A–508. Lessee’s remedies
§ 28:2A–509. Lessee’s rights on improper delivery; rightful rejection
§ 28:2A–510. Installment lease contracts: rejection and default
§ 28:2A–511. Merchant lessee’s duties as to rightfully rejected goods
§ 28:2A–512. Lessee’s duties as to rightfully rejected goods
§ 28:2A–513. Cure by lessor of improper tender or delivery; replacement
§ 28:2A–514. Waiver of lessee’s objections
§ 28:2A–515. Acceptance of goods
§ 28:2A–517. Revocation of acceptance of goods
§ 28:2A–518. Cover; substitute goods
§ 28:2A–520. Lessee’s incidental and consequential damages
§ 28:2A–521. Lessee’s right to specific performance or replevin