Kansas Statutes 84-2a-519. Lessee’s damages for nondelivery, repudiation, default and breach of warranty in regard to accepted goods
(1) Except as otherwise provided with respect to damages liquidated in the lease agreement (Kan. Stat. Ann. § 84-2a-504, and amendments thereto) or otherwise determined pursuant to agreement of the parties (Kan. Stat. Ann. 2023 Supp. 84-1-302 and Kan. Stat. Ann. § 84-2a-504, and amendments thereto), if a lessee elects not to cover or a lessee elects to cover and the cover is by lease agreement that for any reason does not qualify for treatment under Kan. Stat. Ann. § 84-2a-518(2), and amendments thereto, or is by purchase or otherwise, the measure of damages for nondelivery or repudiation by the lessor or for rejection or revocation of acceptance by the lessee is the present value, as of the date of the default of the then market rent minus the present value as of the same date of the original rent, computed for the remaining lease term of the original lease agreement, together with incidental and consequential damages, less expenses saved in consequence of the lessor’s default.
(2) Market rent is to be determined as of the place for tender or, in cases of rejection after arrival or revocation of acceptance, as of the place of arrival.
Terms Used In Kansas Statutes 84-2a-519
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Goods: means all things that are movable at the time of identification to the lease contract, or are fixtures (Kan. See Kansas Statutes 84-2a-103
- 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
- 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 Kansas Statutes 84-2a-103
- Lease agreement: means the bargain, with respect to the lease, of the lessor and the lessee in fact as found in their language or by implication from other circumstances including course of dealing or usage of trade or course of performance as provided in this article. See Kansas Statutes 84-2a-103
- Lessee: means a person who acquires the right to possession and use of goods under a lease. See Kansas Statutes 84-2a-103
- Lessor: means a person who transfers the right to possession and use of goods under a lease. See Kansas Statutes 84-2a-103
- Present value: means the amount as of a date certain of one or more sums payable in the future, discounted to the date certain. See Kansas Statutes 84-2a-103
- Purchase: includes taking by sale, lease, mortgage, security interest, pledge, gift, or any other voluntary transaction creating an interest in goods. See Kansas Statutes 84-2a-103
(3) Except as otherwise agreed, if the lessee has accepted goods and given notification (Kan. Stat. Ann. § 84-2a-516(3), and amendments thereto), the measure of damages for nonconforming tender or delivery or other default by a lessor is the loss resulting in the ordinary course of events from the lessor’s default as determined in any manner that is reasonable together with incidental and consequential damages, less expenses saved in consequence of the lessor’s default.
(4) Except as otherwise agreed, the measure of damages for breach of warranty is the present value at the time and place of acceptance of the difference between the value of the use of the goods accepted and the value if they had been as warranted for the lease term, unless special circumstances show proximate damages of a different amount, together with incidental and consequential damages, less expenses saved in consequence of the lessor’s default or breach of warranty.