Section 2-A-216. Third-Party Beneficiaries of Express or Implied

Terms Used In N.Y. Uniform Commercial Code 2-A-216

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Goods: means all things that are movable at the time of

    identification to the lease contract, or are fixtures

    (Section 2-A-309), 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 N.Y. Uniform Commercial Code 2-A-103
  • Lessee: means a person who acquires the right to possession

    and use of goods under a lease. See N.Y. Uniform Commercial Code 2-A-103

Warranties.

A warranty to or for the benefit of a lessee under this Article, whether express or implied, extends to any natural person if it is reasonable to expect that such person may use, consume, or be affected by the goods and who is injured in person by breach of the warranty. This section does not displace principles of law and equity that extend a warranty to or for the benefit of a lessee to other persons. The operation of this section may not be excluded, modified, or limited, but an exclusion, modification, or limitation of the warranty, including any with respect to rights and remedies, effective against the lessee is also effective against the beneficiary designated under this section.