Sec. 2A108.
(1) If a court, as a matter of law, finds a lease contract or any clause of a lease contract to have been unconscionable at the time it was made, the court may refuse to enforce the lease contract, or it may enforce the remainder of the lease contract without the unconscionable clause, or it may so limit the application of any unconscionable clause as to avoid any unconscionable result.
(2) With respect to a consumer lease, if a court, as a matter of law, finds that a lease contract or any clause of a lease contract has been induced by unconscionable conduct or that unconscionable conduct has occurred in the collection of a claim arising from a lease contract, the court may grant appropriate relief.
(3) Before making a finding of unconscionability under subsection (1) or (2), the court, on its own motion or that of a party, shall afford the parties a reasonable opportunity to present evidence as to the setting, purpose, and effect of the lease contract or clause thereof, or of the conduct.
(4) In an action in which the lessee claims unconscionability with respect to a consumer lease, all of the following apply:
(a) If the court finds unconscionability under subsection (1) or (2), the court shall award reasonable attorney's fees to the lessee.
(b) If the court does not find unconscionability and the lessee claiming unconscionability has brought or maintained an action he or she knew to be groundless, the court shall award reasonable attorney's fees to the party against whom the claim is made.
(c) In determining attorney's fees, the amount of the recovery on behalf of the claimant under subsections (1) and (2) is not controlling.
History: Add. 1992, Act 101, Eff. Sept. 30, 1992
Structure Michigan Compiled Laws
Chapter 440 - Uniform Commercial Code
Act 174 of 1962 - Uniform Commercial Code (440.1101 - 440.11102)
Article 2A - Leases (440.2801...440.2982)
174-1962-2A-1 - Part 1 General Provisions (440.2801...440.2810)
Section 440.2801 - Short Title.
Section 440.2802 - Applicability of Article.
Section 440.2803 - Definitions; Sections; Principles of Construction and Interpretation.
Section 440.2805 - Certificate of Title Statute; Compliance; Applicable Law.
Section 440.2806 - Choice of Law; Judicial Forum.
Section 440.2807 - Discharge of Claim or Right Without Consideration.
Section 440.2808 - Unconscionable Contract, Clause, or Conduct.
Section 440.2809 - Power to Accelerate Payment or Performance or Require Collateral; Good Faith.
Section 440.2810 - Motor Vehicle or Trailer; Transaction Creating Sale or Security Interest.