N.Y. Uniform Commercial Code Law § 2-a-523: Lessor's Remedies

Section 2-A-523. Lessor's Remedies.

(1) If a lessee wrongfully rejects or revokes acceptance of goods or

fails to make a payment when due or repudiates with respect to a part or

the whole, then, with respect to any goods involved, and with respect to

all of the goods if under an installment lease contract the value of the

whole lease contract is substantially impaired (Section 2-A-510), the

lessee is in default under the lease contract and the lessor may:

(a) cancel the lease contract (Section 2-A-505 (1));

(b) proceed respecting goods not identified to the lease contract

(Section 2-A-524);

(c) withhold delivery of the goods and take possession of goods

previously delivered (Section 2-A-525);

(d) stop delivery of the goods by any bailee (Section 2-A-526);

(e) dispose of the goods and recover damages (Section 2-A-527), or

retain the goods and recover damages (Section 2-A-528), or in a proper

case recover rent (Section 2-A-529);

(f) exercise any other rights or pursue any other remedies provided in

the lease contract.

(2) If a lessor does not fully exercise a right or obtain a remedy to

which the lessor is entitled under subsection (1), the lessor may

recover the loss resulting in the ordinary course of events from the

lessee's default as determined in any reasonable manner, together with

incidental damages, less expenses saved in consequence of the lessee's

default.

(3) If a lessee is otherwise in default under a lease contract, the

lessor may exercise the rights and pursue the remedies provided in the

lease contract, which may include a right to cancel the lease. In

addition, unless otherwise provided in the lease contract:

(a) if the default substantially impairs the value of the lease

contract to the lessor, the lessor may exercise the rights and pursue

the remedies provided under subsection (1) or (2); or

(b) if the default does not substantially impair the value of the

lease contract to the lessor, the lessor may recover as provided in

subsection (2).