A. Except as otherwise provided in section 47-2A306, a creditor of a lessee takes subject to the lease contract.

Terms Used In Arizona Laws 47-2A307

  • Contract: A legal written agreement that becomes binding when signed.
  • Goods: means all things that are movable at the time of identification to the lease contract, or are fixtures (section 47-2A309), but the term does not include money, documents, instruments, accounts, chattel paper, general intangibles or minerals or the like, including oil and gas, before extraction. See Arizona Laws 47-2A103
  • Lease: means a transfer of the right to possession and use of goods for a term in return for consideration, but a sale, including a sale on approval or a sale or return, or retention or creation of a security interest is not a lease. See Arizona Laws 47-2A103
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Lease contract: means the total legal obligation that results from the lease agreement as affected by this chapter and any other applicable rules of law. See Arizona Laws 47-2A103
  • Leasehold interest: means the interest of the lessor or the lessee under a lease contract. See Arizona Laws 47-2A103
  • Lessee: means a person who acquires the right to possession and use of goods under a lease. See Arizona Laws 47-2A103
  • Lessor: means a person who transfers the right to possession and use of goods under a lease. See Arizona Laws 47-2A103

B. Except as otherwise provided in subsection C of this section and in sections 47-2A306 and 47-2A308, a creditor of a lessor takes subject to the lease contract unless the creditor holds a lien that attached to the goods before the lease contract became enforceable.

C. Except as otherwise provided in sections 47-9317, 47-9321 and 47-9323, a lessee takes a leasehold interest subject to a security interest held by a creditor of the lessor.