Printable Format84-2a-301. Enforceability of lease contract. Except as otherwise provided in this article, a lease contract is effective and enforceable according to its terms between the parties, against purchasers of the goods, and against creditors of the parties.
History: L. 1991, ch. 295, ยง 31; February 1, 1992.
KANSAS COMMENT, 1996
1. This section states the general rule of Article 2A that a lease contract is effective and enforceable between the parties, against their creditors, and against purchasers of the goods. It is derived from the first sentence of section 84-9-201. The second sentence of the statutory analogue is omitted as not relevant to leases. The general rule of enforceability is subject to other provisions of Article 2A. Official Comment 3 illustrates the scope of that exception.
2. The enforceability or effectiveness of a lease contract does not depend on whether the lease or a financing statement has been publicly filed or recorded. The drafters of Article 2A determined that, unlike security interests subject to Article 9, a filing requirement was not appropriate for leases. For an exception, see 84-2a-309. Official Comment 2 explains that prior to the adoption of Article 2A leases were not subject to filing or recording requirements, and states that the revised definition of security interest in section 84-1-201(37) "more clearly delineates leases and leases intended as security and thus signals the need to file." Lessors that are uncertain about whether a lease satisfies the revised definition of security interest or that simply want to take no chances can file a protective financing statement pursuant to section 84-9-408.