Current through 2024 Legislative Session
Section 41-02.1-21 - (2A-212) Implied warranty of merchantability1. 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: a. Pass without objection in the trade under the description in the lease agreement;b. In the case of fungible goods, be of fair average quality within the description;c. Be 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. Be adequately contained, packaged, and labeled as the lease agreement may require; andf. 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.