Maine Revised Statutes
Part 5: DEFAULT
11 §2-1504. Liquidation of damages

§2-1504. Liquidation of damages
(1).  Damages payable by either party for default or any other act or omission, including indemnity for loss or diminution of anticipated tax benefits or loss or damage to lessor's residual interest, may be liquidated in the lease agreement but only at an amount or by a formula that is reasonable in light of the then anticipated harm caused by the default or other act or omission.  
[PL 1991, c. 805, §4 (NEW).]
(2).  If the lease agreement provides for liquidation of damages and that provision does not comply with subsection (1), or that provision is an exclusive or limited remedy that circumstances cause to fail of its essential purpose, remedy may be had as provided in this Article.  
[PL 1991, c. 805, §4 (NEW).]
(3).  If the lessor justifiably withholds or stops delivery of goods because of the lessee's default or insolvency (section 2‑1525 or 2‑1526) the lessee is entitled to restitution of any amount by which the sum of the lessee's payments exceeds:  
(a). The amount to which the lessor is entitled by virtue of terms liquidating the lessor's damages in accordance with subsection (1); or   [PL 1991, c. 805, §4 (NEW).]
(b). In the absence of those terms, 20% of the then present value of the total rent the lessee was obligated to pay for the balance of the lease term, or, in the case of a consumer lease, the lesser of that amount or $500.   [PL 1991, c. 805, §4 (NEW).]
[PL 1991, c. 805, §4 (NEW).]
(4).  A lessee's right to restitution under subsection (3) is subject to offset to the extent the lessor establishes:  
(a). A right to recover damages under the provisions of this Article other than subsection (1); and   [PL 1991, c. 805, §4 (NEW).]
(b). The amount or value of any benefits received by the lessee directly or indirectly by reason of the lease contract.   [PL 1991, c. 805, §4 (NEW).]
[PL 1991, c. 805, §4 (NEW).]
SECTION HISTORY
PL 1991, c. 805, §4 (NEW).

Structure Maine Revised Statutes

Maine Revised Statutes

TITLE 11: UNIFORM COMMERCIAL CODE

Article 2-A: LEASES

Part 5: DEFAULT

11 §2-1501. Default; procedure

11 §2-1502. Notice after default

11 §2-1503. Modification or impairment of rights and remedies

11 §2-1504. Liquidation of damages

11 §2-1505. Cancellation and termination and effect of cancellation, termination, rescission or fraud on rights and remedies

11 §2-1506. Statute of limitations

11 §2-1507. Proof of market rent; time and place

11 §2-1508. Lessee's remedies

11 §2-1509. Lessee's rights on improper delivery; rightful rejection

11 §2-1510. Installment lease contracts; rejection and default

11 §2-1511. Merchant lessee's duties as to rightfully rejected goods

11 §2-1512. Lessee's duties as to rightfully rejected goods

11 §2-1513. Cure by lessor of improper tender or delivery; replacement

11 §2-1514. Waiver of lessee's objections

11 §2-1515. Acceptance of goods

11 §2-1516. Effect of acceptance of goods; notice of default; burden of establishing default after acceptance; notice of claim or litigation to person answerable over

11 §2-1517. Revocation of acceptance of goods

11 §2-1518. Cover; substitute goods

11 §2-1519. Lessee's damages for nondelivery, repudiation, default and breach of warranty in regard to accepted goods

11 §2-1520. Lessee's incidental and consequential damages

11 §2-1521. Lessee's right to specific performance or replevin

11 §2-1522. Lessee's right to goods on lessor's insolvency

11 §2-1523. Lessor's remedies

11 §2-1524. Lessor's right to identify goods to lease contract

11 §2-1525. Lessor's right to possession of goods

11 §2-1526. Lessor's stoppage of delivery in transit or otherwise

11 §2-1527. Lessor's rights to dispose of goods

11 §2-1528. Lessor's damages for nonacceptance, failure to pay, repudiation or other default

11 §2-1529. Lessor's action for the rent

11 §2-1530. Lessor's incidental damages

11 §2-1531. Standing to sue third parties for injury to goods

11 §2-1532. Lessor's rights to residual interest