Notwithstanding any other provision of law, a lease agreement which pertains to the commercial use of a motor vehicle or trailer and which includes a terminal rental adjustment clause does not create a sale or security interest merely because the terminal rental adjustment clause provides that the rental price is permitted or required to be adjusted under the agreement either upward or downward by reference to the actual value of the motor vehicle or trailer upon lease termination or sale or other disposition of the motor vehicle or trailer. Actual value shall be determined as agreed upon by the parties. This section is not applicable to a consumer lease agreement pertaining to a motor vehicle or trailer leased or used primarily for personal, family or household purposes.
(July 6, 1995, P.L.315, No.48, eff. 60 days)
1995 Amendment. Act 48 added section 1139.
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 11 - Certificate of Title and Security Interests
Section 1101 - Certificate of title required
Section 1102 - Vehicles not requiring certificate of title
Section 1103 - Application for certificate of title (Repealed)
Section 1103.1 - Application for certificate of title
Section 1104 - Examination of records upon receipt of application
Section 1105 - Issuance of certificate of title
Section 1106 - Content and effect of certificate of title
Section 1107 - Delivery of certificate of title
Section 1108 - Registration without certificate of title
Section 1109 - Refusing issuance of certificate
Section 1110 - Duplicate certificate of title to replace original
Section 1111 - Transfer of ownership of vehicle
Section 1111.1 - Transfer of ownership of vehicles used for human habitation
Section 1112 - Disclosure of odometer reading and tampering with odometer (Repealed)
Section 1113 - Transfer to or from manufacturer or dealer
Section 1114 - Transfer of vehicle by operation of law
Section 1115 - Correction of certificate of title
Section 1116 - Issuance of new certificate following transfer
Section 1117 - Vehicle destroyed, dismantled, salvaged or recycled (Repealed)
Section 1118 - Suspension and cancellation of certificate of title
Section 1119 - Application for certificate of title by agent
Section 1131 - Applicability of subchapter
Section 1132 - Perfection of security interest (Deleted by amendment)
Section 1132.1 - Perfection of a security interest in a vehicle
Section 1133 - Creation of security interest for titled vehicle (Deleted by amendment)
Section 1134 - Assignment by lienholder of security interest
Section 1135 - Satisfaction of security interest
Section 1136 - Duty of lienholder to disclose pertinent information
Section 1137 - Subchapter exclusive for perfecting security interest
Section 1138 - Duration of perfection
Section 1139 - Terminal rental adjustment clauses
Section 1140 - Cancellation of certificate of title or ownership for mobile home
Section 1151 - Electronic media system for vehicle titles (Expired)
Section 1152 - Development of pilot program (Expired)
Section 1153 - Administration of system
Section 1154 - Expansion of pilot program (Expired)
Section 1161 - Certificate of salvage required
Section 1162 - Transfer to vehicle salvage dealer
Section 1163 - Transfer to scrap metal processor
Section 1165 - Reconstructed vehicles
Section 1165.1 - Inspection of reconstructed, modified and specially constructed vehicles
Section 1165.2 - Specialized Vehicle Compliance Inspection Advisory Panel (Expired)