{"data":{"id":"us-ok/okla.-stat.-tit.-12a-12a-2a-103","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 12A, § 12A-2A-103","heading":"Definitions and index of definitions","body":"\n\nDEFINITIONS AND INDEX OF DEFINITIONS\n\n(1) In this article unless the context otherwise requires:\n\n(a) \"Buyer in the ordinary course of business\" means a\n\nperson who in good faith and without knowledge that\n\nthe sale to him or her is in violation of the\n\nownership rights or security interest or leasehold\n\ninterest of a third party in the goods, buys in the\n\nordinary course from a person in the business of\n\nselling goods of that kind but does not include a\n\npawnbroker. \"Buying\" may be for cash or by exchange\n\nof other property or on secured or unsecured credit\n\nand includes acquiring goods or documents of title\n\nunder a preexisting contract for sale but does not\n\ninclude a transfer in bulk or as security for or in\n\ntotal or partial satisfaction of a money debt.\n\n(b) \"Cancellation\" occurs when either party puts an end to\n\nthe lease contract for default by the other party.\n\n(c) \"Commercial unit\" means such a unit of goods as by\n\ncommercial usage is a single whole for purposes of\n\nlease and division of which materially impairs its\n\ncharacter or value on the market or in use. A\n\ncommercial unit may be a single article, as a machine,\n\nor a set of articles, as a suite of furniture or a\n\nline of machinery, or a quantity, as a gross or\n\ncarload, or any other unit treated in use or in the\n\nrelevant market as a single whole.\n\n(d) \"Conforming\" goods or performance under a lease\n\ncontract means goods or performance that are in\n\naccordance with the obligations under the lease\n\ncontract.\n\n(e) \"Consumer lease\" means a lease that a lessor regularly\n\nengaged in the business of leasing or selling makes to\n\na lessee who is an individual and who takes under the\n\nlease primarily for a personal, family, or household\n\npurpose, if the total payments to be made under the\n\nlease contract, excluding payments for options to\n\nrenew or buy, do not exceed Forty-five Thousand\n\nDollars ($45,000.00).\n\n(f) \"Fault\" means wrongful act, omission, breach, or\n\ndefault.\n\n(g) \"Finance lease\" means a lease with respect to which:\n\n(i) the lessor does not select, manufacture or supply\n\nthe goods;\n\n(ii) the lessor acquires the goods or the right to\n\npossession and use of the goods in connection\n\nwith the lease; and\n\n(iii) one of the following occurs:\n\n(A) the lessee receives a copy of the contract\n\nby which the lessor acquired the goods or\n\nthe right to possession and use of the goods\n\nbefore signing the lease contract;\n\n(B) the lessee's approval of the contract by\n\nwhich the lessor acquired the goods or the\n\nright to possession and use of the goods is\n\na condition to effectiveness of the lease\n\ncontract;\n\n(C) the lessee, before signing the lease\n\ncontract, receives an accurate and complete\n\nstatement designating the promises and\n\nwarranties, and any disclaimers of\n\nwarranties, limitations or modifications of\n\nremedies, or liquidated damages, including\n\nthose of a third party, such as the\n\nmanufacturer of the goods, provided to the\n\nlessor by the person supplying the goods in\n\nconnection with or as part of the contract\n\nby which the lessor acquired the goods or\n\nthe right to possession and use of the\n\ngoods; or\n\n(D) if the lease is not a consumer lease, the\n\nlessor, before the lessee signs the lease\n\ncontract, informs the lessee in writing (a)\n\nof the identity of the person supplying the\n\ngoods to the lessor, unless the lessee has\n\nselected that person and directed the lessor\n\nto acquire the goods or the right to\n\npossession and use of the goods from that\n\nperson, (b) that the lessee is entitled\n\nunder this article to the promises and\n\nwarranties, including those of any third\n\nparty, provided to the lessor by the person\n\nsupplying the goods in connection with or as\n\npart of the contract by which the lessor\n\nacquired the goods or the right to\n\npossession and use of the goods, and (c)\n\nthat the lessee may communicate with the\ne of the goods from that\n\nperson, (b) that the lessee is entitled\n\nunder this article to the promises and\n\nwarranties, including those of any third\n\nparty, provided to the lessor by the person\n\nsupplying the goods in connection with or as\n\npart of the contract by which the lessor\n\nacquired the goods or the right to\n\npossession and use of the goods, and (c)\n\nthat the lessee may communicate with the\n\nperson supplying the goods to the lessor and\n\nreceive an accurate and complete statement\n\nof those promises and warranties, including\n\nany disclaimers and limitations of them or\n\nof remedies.\n\n(h) \"Goods\" means all things that are movable at the time\n\nof identification to the lease contract, or are\n\nfixtures (Section 2A-309 of this title). The term\n\nincludes future goods, specially manufactured goods,\n\nand the unborn young of animals. The term does not\n\ninclude information, the money in which the price is\n\nto be paid, investment securities under Article 8 of\n\nthe Uniform Commercial Code, minerals or the like,\n\nincluding oil and gas, before extraction, or choses in\n\naction.\n\n(i) \"Hybrid lease\" means a single transaction involving a\n\nlease of goods and:\n\n(i) the provision of services;\n\n(ii) a sale of other goods; or\n\n(iii) a sale, lease, or license of property other than\n\ngoods.\n\n(j) \"Installment lease contract\" means a lease contract\n\nthat authorizes or requires the delivery of goods in\n\nseparate lots to be separately accepted, even though\n\nthe lease contract contains a clause \"each delivery is\n\na separate lease\" or its equivalent.\n\n(k) \"Lease\" means a transfer of the right to possession\n\nand use of goods for a term in return for\n\nconsideration, but a sale, including a sale on\n\napproval or a sale or return, or retention or creation\n\nof a security interest or license of information is\n\nnot a lease. Unless the context clearly indicates\n\notherwise, the term includes a sublease.\n\n(l) \"Lease agreement\" means the bargain, with respect to\n\nthe lease, of the lessor and the lessee in fact as\n\nfound in their language or by implication from other\n\ncircumstances including course of dealing of usage of\n\ntrade or course of performance as provided in this\n\narticle. Unless the context clearly indicates\n\notherwise, the term includes a sublease agreement.\n\n(m) \"Lease contract\" means the total legal obligation that\n\nresults from the lease agreement as affected by this\n\narticle and any other applicable rules of law. Unless\n\nthe context clearly indicates otherwise, the term\n\nincludes a sublease contract.\n\n(n) \"Leasehold interest\" means the interest of the lessor\n\nor the lessee under a lease contract.\n\n(o) \"Lessee\" means a person who acquires the right to\n\npossession and use of goods under a lease. Unless the\n\ncontext clearly indicates otherwise, the term includes\n\na sublessee.\n\n(p) \"Lessee in the ordinary course of business\" means a\n\nperson who in good faith and without knowledge that\n\nthe lease to him or her is in violation of the\n\nownership rights or security interest or leasehold\n\ninterest of a third party in the goods leases in the\n\nordinary course from a person in the business of\n\nselling or leasing goods of that kind but does not\n\ninclude a pawnbroker. \"Leasing\" may be for cash or by\n\nexchange of other property or on secured or unsecured\n\ncredit and includes acquiring goods or documents of\n\ntitle under a preexisting lease contract but does not\n\ninclude a transfer in bulk or as security for or in\n\ntotal or partial satisfaction of a money debt.\n\n(q) \"Lessor\" means a person who transfers the right to\n\npossession and use of goods under a lease. Unless the\n\ncontext clearly indicates otherwise, the term includes\n\na sublessor.\n\n(r) \"Lessor's residual interest\" means the lessor's\n\ninterest in the goods after expiration, termination,\n\nor cancellation of the lease contract.\nor as security for or in\n\ntotal or partial satisfaction of a money debt.\n\n(q) \"Lessor\" means a person who transfers the right to\n\npossession and use of goods under a lease. Unless the\n\ncontext clearly indicates otherwise, the term includes\n\na sublessor.\n\n(r) \"Lessor's residual interest\" means the lessor's\n\ninterest in the goods after expiration, termination,\n\nor cancellation of the lease contract.\n\n(s) \"Lien\" means a charge against or interest in goods to\n\nsecure payment of a debt or performance of an\n\nobligation, but the term does not include a security\n\ninterest.\n\n(t) \"Lot\" means a parcel or a single article that is the\n\nsubject matter of a separate lease or delivery,\n\nwhether or not it is sufficient to perform the lease\n\ncontract.\n\n(u) \"Merchant lessee\" means a lessee that is a merchant\n\nwith respect to goods of the kind subject to the\n\nlease.\n\n(v) \"Present value\" means the amount as of a date certain\n\nof one or more sums payable in the future, discounted\n\nto the date certain. The discount is determined by\n\nthe interest rate specified by the parties if the rate\n\nwas not manifestly unreasonable at the time the\n\ntransaction was entered into; otherwise, the discount\n\nis determined by a commercially reasonable rate that\n\ntakes into account the facts and circumstances of each\n\ncase at the time the transaction was entered into.\n\n(w) \"Purchase\" includes taking by sale, lease, mortgage,\n\nsecurity interest, pledge, gift, or any other\n\nvoluntary transaction creating an interest in goods.\n\n(x) \"Sublease\" means a lease of goods the right to\n\npossession and use of which was acquired by the lessor\n\nas a lessee under an existing lease.\n\n(y) \"Supplier\" means a person from whom a lessor buys or\n\nleases goods to be leased under a finance lease.\n\n(z) \"Supply contract\" means a contract under which a\n\nlessor buys or leases goods to be leased.\n\n(aa) \"Termination\" occurs when either party pursuant to a\n\npower created by agreement or law puts an end to the\n\nlease contract otherwise than for default.\n\n(2) Other definitions applying to this article and the sections\n\nin which they appear are:\n\n\"Accessions\". Subsection (1) of Section 2A-310 of this\n\ntitle.\n\n\"Construction mortgage\". Paragraph (d) of subsection (1)\n\nof Section 2A-309 of this title.\n\n\"Encumbrance\". Paragraph (e) of subsection (1) of Section\n\n2A-309 of this title.\n\n\"Fixtures\". Paragraph (a) of subsection (1) of Section 2A-\n\n309 of this title.\n\n\"Fixture filing\". Paragraph (b) of subsection (1) of\n\nSection 2A-309 of this title.\n\n\"Purchase money lease\". Paragraph (c) of subsection (1) of\n\nSection 2A-309 of this title.\n\n(3) The following definitions in other articles apply to this\n\narticle:\n\n\"Account\". Paragraph (2) of subsection (a) of Section 1-9-\n\n102 of this title.\n\n\"Between merchants\". Subsection (3) of Section 2-104 of\n\nthis title.\n\n\"Buyer\". Paragraph (a) of subsection (1) of Section 2-103\n\nof this title.\n\n\"Chattel paper\". Paragraph (11) of subsection (a) of\n\nSection 1-9-102 of this title.\n\n\"Consumer goods\". Paragraph (23) of subsection (a) of\n\nSection 1-9-102 of this title.\n\n\"Document\". Paragraph (30) of subsection (a) of Section 1-\n\n9-102 of this title.\n\n\"Entrusting\". Paragraph (3) of Section 2-403 of this\n\ntitle.\n\n\"General intangible\". Paragraph (42) of subsection (a) of\n\nSection 1-9-102 of this title.\n\n\"Instrument\". Paragraph (47) of subsection (a) of Section\n\n1-9-102 of this title.\n\n\"Merchant\". Subsection (1) of Section 2-104 of this title.\n\n\"Mortgage\". Paragraph (55) of subsection (a) of Section 1-\n\n9-102 of this title.\n\n\"Pursuant to commitment\". Paragraph (69) of subsection (a)\n\nof Section 1-9-102 of this title.\n\n\"Receipt\". Subsection (c) of paragraph (1) of Section 2-\n\n103 of this title.\n\n\"Sale\". Paragraph (1) of Section 2-106 of this title.\n\n\"Sale on approval\". Section 2-326 of this title.\n\n\"Sale or return\". Section 2-326 of this title.\n\nis title.\n\n\"Pursuant to commitment\". Paragraph (69) of subsection (a)\n\nof Section 1-9-102 of this title.\n\n\"Receipt\". Subsection (c) of paragraph (1) of Section 2-\n\n103 of this title.\n\n\"Sale\". Paragraph (1) of Section 2-106 of this title.\n\n\"Sale on approval\". Section 2-326 of this title.\n\n\"Sale or return\". Section 2-326 of this title.\n\n\"Seller\". Subparagraph (c) of paragraph (1) of Section 2-\n\n103 of this title.\n\n(4) In addition, Article 1 of this title, contains general\n\ndefinitions and principles of construction and interpretation\n\napplicable throughout this article.","path":["OK Code","Title 12A"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os12A.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"3055fbcd8869f8c6aec182e4caefc31d0d49aa86e96575a807432fdac46e0a30","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-12a-12a-2a-102","next":"us-ok/okla.-stat.-tit.-12a-12a-2a-104"},"notice":"GroundRules: Original legal text. Not legal advice."}