§ 6A-1-309. Option to accelerate at will.
A term providing that one party or that party’s successor in interest may accelerate payment or performance or require collateral or additional collateral “at will” or when the party “deems itself insecure,” or words of similar import, means that the party has power to do so only if that party in good faith believes that the prospect of payment or performance is impaired. The burden of establishing lack of good faith is on the party against which the power has been exercised.
History of Section.P.L. 2007, ch. 19, § 4; P.L. 2007, ch. 34, § 4.
Structure Rhode Island General Laws
Title 6A - Uniform Commercial Code
Chapter 6A-1 - General Provisions
Part 3 - Territorial Applicability and General Rules
Section 6A-1-301. - Territorial applicability — Parties’ power to choose applicable law.
Section 6A-1-302. - Variation by agreement.
Section 6A-1-303. - Course of performance, course of dealing and usage of trade.
Section 6A-1-304. - Obligation of good faith.
Section 6A-1-305. - Remedies to be liberally administered.
Section 6A-1-306. - Waiver or renunciation of claim or right after breach.
Section 6A-1-307. - Prima facie evidence by third-party documents.
Section 6A-1-308. - Performance or acceptance under reservation of rights.