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336.2A-310 LESSOR'S AND LESSEE'S RIGHTS WHEN GOODS BECOME
ACCESSIONS.
(1) Goods are "accessions" when they are installed in or affixed to other goods.
(2) The interest of a lessor or a lessee under a lease contract entered into before the goods
became accessions is superior to all interests in the whole except as stated in subsection (4).
(3) The interest of a lessor or a lessee under a lease contract entered into at the time or after
the goods became accessions is superior to all subsequently acquired interests in the whole except
as stated in subsection (4) but is subordinate to interests in the whole existing at the time the lease
contract was made unless the holders of the interests in the whole have in writing consented to the
lease or disclaimed an interest in the goods as part of the whole.
(4) The interest of a lessor or a lessee under a lease contract described in subsection (2) or
(3) is subordinate to the interest of
(a) a buyer in the ordinary course of business or a lessee in the ordinary course of business of
any interest in the whole acquired after the goods became accessions; or
(b) a creditor with a security interest in the whole perfected before the lease contract was
made to the extent that the creditor makes subsequent advances without knowledge of the
lease contract.
(5) When under subsections (2) or (3) and (4) a lessor or a lessee of accessions holds an
interest that is superior to all interests in the whole, the lessor or the lessee may: (a) on default,
expiration, termination, or cancellation of the lease contract by the other party but subject to the
provisions of the lease contract and this article, or (b) if necessary to enforce the lessor's or
lessee's other rights and remedies under this article; remove the goods from the whole, free and
clear of all interests in the whole, but the lessor or lessee must reimburse any holder of an interest
in the whole who is not the lessee and who has not otherwise agreed for the cost of repair of any
physical injury but not for any diminution in value of the whole caused by the absence of the
goods removed or by any necessity for replacing them. A person entitled to reimbursement
may refuse permission to remove until the party seeking removal gives adequate security for
the performance of this obligation.
History: 1989 c 232 art 1 s 2A-310

Official Publication of the State of Minnesota
Revisor of Statutes