2A516 - Effect of acceptance of goods; notice of default; burden of establishing default after acceptance; notice of claim or litigation to person answerable

     § 2A516.  Effect of acceptance of goods; notice of default;                burden of establishing default after acceptance;                notice of claim or litigation to person answerable                over.        (a)  Payment for accepted goods.--A lessee must pay rent for     any goods accepted in accordance with the lease contract, with     due allowance for goods rightfully rejected or not delivered.        (b)  Effect of acceptance on remedies for default.--A     lessee's acceptance of goods precludes rejection of the goods     accepted. In the case of a finance lease, if made with knowledge     of a nonconformity, acceptance cannot be revoked because of it.     In any other case, if made with knowledge of a nonconformity,     acceptance cannot be revoked because of it unless the acceptance     was on the reasonable assumption that the nonconformity would be     seasonably cured. Acceptance does not of itself impair any other     remedy provided by this division or the lease agreement for     nonconformity.        (c)  Notice of default and burden of proof.--If a tender has     been accepted:            (1)  within a reasonable time after the lessee discovers        or should have discovered any default, the lessee shall        notify the lessor and the supplier, if any, or be barred from        any remedy against the party not notified;            (2)  except in the case of a consumer lease, within a        reasonable time after the lessee receives notice of        litigation for infringement or the like (section 2A211), the        lessee shall notify the lessor or be barred from any remedy        over for liability established by the litigation; and            (3)  the burden is on the lessee to establish any        default.        (d)  Notice of litigation to person answerable over.--If a     lessee is sued for breach of a warranty or other obligation for     which a lessor or a supplier is answerable over, the following     apply:            (1)  The lessee may give the lessor or the supplier        written notice of the litigation. If the notice states that        the person notified may come in and defend and that if the        person notified does not do so that person will be bound in        any action against that person by the lessee by any        determination of fact common to the two litigations, then,        unless the person notified after seasonable receipt of the        notice does come in and defend, that person is so bound.            (2)  The lessor or the supplier may demand in writing        that the lessee turn over control of the litigation,        including settlement, if the claim is one for infringement or        the like (section 2A211) or else be barred from any remedy        over. If the demand states that the lessor or the supplier        agrees to bear all expense and to satisfy any adverse        judgment, then, unless the lessee after seasonable receipt of        the demand does turn over control, the lessee is so barred.        (e)  Obligation of lessee to hold lessor or supplier     harmless.--Subsections (c) and (d) apply to any obligation of a     lessee to hold the lessor or the supplier harmless against     infringement or the like (section 2A211).        Cross References.  Section 2A516 is referred to in section     2A519 of this title.