(1) The benefit of the supplier‘s promises to the lessor under a supply contract, and of all warranties, whether express or implied, under the supply contract, extends to the lessee to the extent of the lessee’s leasehold interest under a finance lease related to the supply contract, but subject to the terms of the supply contract and all of the supplier’s defenses or claims arising therefrom.
(2) The extension of the benefit of the supplier’s promises and warranties to the lessee (subsection (1)) does not:

(a) Modify the rights and obligations of the parties to the supply contract, whether arising therefrom or otherwise; or

Terms Used In Florida Statutes 680.209

  • Contract: A legal written agreement that becomes binding when signed.
  • Finance lease: means a lease with respect to which:
    1. See Florida Statutes 680.1031
  • 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 Florida Statutes 680.1031
  • 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
  • Leasehold interest: means the interest of the lessor or the lessee under a lease contract. See Florida Statutes 680.1031
  • Lessee: means a person who acquires the right to possession and use of goods under a lease. See Florida Statutes 680.1031
  • Lessor: means a person who transfers the right to possession and use of goods under a lease. See Florida Statutes 680.1031
  • Rescission: The cancellation of budget authority previously provided by Congress. The Impoundment Control Act of 1974 specifies that the President may propose to Congress that funds be rescinded. If both Houses have not approved a rescission proposal (by passing legislation) within 45 days of continuous session, any funds being withheld must be made available for obligation.
  • Supplier: means a person from whom a lessor buys or leases goods to be leased under a finance lease. See Florida Statutes 680.1031
  • Supply contract: means a contract under which a lessor buys or leases goods to be leased. See Florida Statutes 680.1031
(b) Impose any duty or liability under the supply contract on the lessee.
(3) Any modification or rescission of the supply contract by the supplier and the lessor is effective against the lessee unless, prior to the modification or rescission, the supplier has received notice that the lessee has entered into a finance lease related to the supply contract. If the supply contract is modified or rescinded after the lessee enters the finance lease, the lessee has a cause of action against the lessor. The lessee’s recovery from such action shall put the lessee in as good a position as if the modification or rescission had not occurred.
(4) In addition to the extension of the benefit of the supplier’s promises and warranties to the lessee under subsection (1), the lessee retains all rights and remedies which the lessee may have against the supplier that arise from any agreement between the lessee and the supplier or from any other law.
  Previous section
Next section  
 Part II Contents