Section 2A-218 - Insurance and proceeds(1) A lessee obtains an insurable interest when existing goods are identified to the lease contract even though the goods identified are nonconforming and the lessee has an option to reject them.(2) If a lessee has an insurable interest only by reason of the lessor's identification of the goods, the lessor, until default or insolvency or notification to the lessee that identification is final, may substitute other goods for those identified.(3) Notwithstanding a lessee's insurable interest under subsections (1) and (2) of this section, the lessor retains an insurable interest until an option to buy has been exercised by the lessee and risk of loss has passed to the lessee.(4) Nothing in this section impairs any insurable interest recognized under any other statute or rule of law.(5) The parties by agreement may determine that one or more parties have an obligation to obtain and pay for insurance covering the goods and by agreement may determine the beneficiary of the proceeds of the insurance.Okla. Stat. tit. 12A, § 2A-218
Added by Laws 1988, HB 1683, c. 86, § 27, eff. 11/1/1988.Oklahoma Code Comment
To the extent there was prior law in Oklahoma, this section and related provisions ( §§ 2A-217 and 2A-531) appear consistent with that law. For example, in both Oklahoma Alcoholic Beverage Control Bd. v. Parkhill Restaurants, Inc., 669 P.2d 265 (Okla.l983), and Aetna Cas. & Sur. Co. v. Brunswick Corp., 437 F.2d 838 (10th Cir.1971), a bailee in possession of goods was held to have an insurable interest in the goods. In the Parkhill Restaurants case, that interest was held sufficient to vindicate the bailee's own rights against a stranger or third person. And in J.W. Payne v. King's Van & Storage, Inc., 367 P.2d 173 (Okla.1961), the court allowed the agreement of the parties to determine who had the obligation to obtain and pay for insurance, as is provided in subsection (5) of this section.
The 1991 amendments make no change here.