New York Laws
Part 2 - Formation and Construction of Lease Contract
2-A-212 - Implied Warranty of Merchantability.

(1) Except in a finance lease, a warranty that the goods will be
merchantable is implied in a lease contract if the lessor is a merchant
with respect to goods of that kind.
(2) Goods to be merchantable must be at least such as:
(a) pass without objection in the trade under the description in
the lease agreement;
(b) in the case of fungible goods, are of fair average quality
within the description;
(c) are fit for the ordinary purposes for which goods of that
type are used;
(d) run, within the variation permitted by the lease agreement,
of even kind, quality, and quantity within each unit and
among all units involved;
(e) are adequately contained, packaged, and labeled as the lease
agreement may require; and
(f) conform to any promises or affirmations of fact made on the
container or label.
(3) Other implied warranties may arise from course of dealing or usage
of trade.