§ 8.2A-212 – Implied warranty of merchantability

1. Except in a finance lease, a warranty that the goods will be merchantable is implied in a lease contract if the lessor is a merchant with respect to goods of that kind.

2. Goods to be merchantable must be at least such as;

a. Pass without objection in the trade under the description in the lease agreement;

b. In the case of fungible goods, are of fair average quality within the description;

c. Are fit for the ordinary purposes for which goods of that type are used;

d. Run, within the variation permitted by the lease agreement, of even kind, quality, and quantity within each unit and among all units involved;

e. Are adequately contained, packaged, and labeled as the lease agreement may require; and

f. Conform to any promises or affirmations of fact made on the container or label.

3. Other implied warranties may arise from course of dealing or usage of trade.