9,075
edits
Difference between revisions of "Leases"
From Clicklaw Wikibooks
→Summary of the law
Drew Jackson (talk | contribs) |
Drew Jackson (talk | contribs) |
||
| Line 30: | Line 30: | ||
Of significance are the consumer goods remedies in Part 5 of the ''Personal Property Security Act'', such as “seize or sue” and the “two-thirds rule”. These provisions apply to leases of consumer goods with a term of more than one year if the lease secures payment or performance of an obligation. Such leases are commonly called “'''security leases'''”. | Of significance are the consumer goods remedies in Part 5 of the ''Personal Property Security Act'', such as “seize or sue” and the “two-thirds rule”. These provisions apply to leases of consumer goods with a term of more than one year if the lease secures payment or performance of an obligation. Such leases are commonly called “'''security leases'''”. | ||
=== | === Security leases versus true leases=== | ||
Security leases are treated differently under the law than “'''true leases'''”. True leases are strictly rental agreements and do not secure payment or performance of an obligation, even when they have a term of more than a year. Significantly, Part 5 of the ''Personal Property Security Act'' does not apply to true leases. | Security leases are treated differently under the law than “'''true leases'''”. True leases are strictly rental agreements and do not secure payment or performance of an obligation, even when they have a term of more than a year. Significantly, Part 5 of the ''Personal Property Security Act'' does not apply to true leases. | ||
