BlackletterCalifornia law

Commercial Code § 10514

ARTICLE 2. Default by Lessor

Current as of September 28, 2026Com. Code, § 10514Official source ↗Ask about this

Amended by Stats. 2006, Ch. 254, Sec. 67. Effective January 1, 2007.

(a) In rejecting goods, a lessee’s failure to state a particular defect that is ascertainable by reasonable inspection precludes the lessee from relying on the defect to justify rejection or to establish default:

(1) If, stated seasonably, the lessor or the supplier could have cured it (Section 10513); or

(2) Between merchants if the lessor or the supplier after rejection has made a request in writing for a full and final written statement of all defects on which the lessee proposes to rely.

(b) A lessee’s failure to reserve rights when paying rent or other consideration against documents precludes recovery of the payment for defects apparent in the documents.