Chicago Attorneys Litigate UCC Article 2A Commercial Lease Disputes
Pursuing effective remedies for conflicts over equipment lease agreements
Because the Uniform Commercial Code (UCC) governs transactions in goods, Article 2A applies only to agreements to lease equipment, not real estate. Schwartz & Kanyock, LLC manages litigation for lessors and lessees in disputes over leased vehicles and industrial equipment under UCC Article 2A. Our attorneys have more than 50 years of combined experience resolving commercial disputes. Many of these controversies over sales of goods, negotiable instruments and funds transfers, also fall under the purview of the UCC. Our formidable litigators employ their knowledge of UCC regulations and their skill in interpreting commercial contracts to deliver exceptional results.
Having your lease dispute case heard under UCC 2A
An experienced UCC litigation attorney can evaluate your case to see if you can seek redress under Article 2A. There are certain advantages to an action under the UCC rather than common law commercial litigation. For instance, the UCC enforces express warranties and the implied warranties of merchantability and fitness for a particular purpose in lease agreements. But there are also requirements you case must meet, including:
- Lease versus secured transactions — UCC Article 2A governs “true leases,” not sales that the seller finances. If the terms of the agreement look too much like a sale, an aggrieved party cannot seek relief under UCC 2A. For example, an equipment lease that includes an option for the lessee to buy after a certain number of payments at no additional cost looks like a secure transaction.
- Statute of frauds — To be enforceable under UCC Article 2A, a lease must be in writing if it is for more than $1,000 and does not involve specially made goods or goods that have already been delivered.
Effectively addressing issues of default and working to obtain appropriate remedies
A key question for any contract dispute is when and if a default occurred. Subsequent questions must address whether the non-breaching party acted reasonably to mitigate damages. These are often questions of fact for an arbitrator or judge to determine, and your attorney’s presentation can make all the difference. Remedies for a lease default are heavily dependent upon the circumstances surrounding the default.
See Schwartz & Kanyock, LLC for commercial lease litigation in the greater Chicago area
Equipment lease disputes can bring your business to a standstill. To get back to business, you need an effective litigation team that can resolve tough UCC conflicts in a cost-effective manner. Call Schwartz & Kanyock, LLC today at 312-436-1442 or contact our firm online to schedule a consultation.