Nevada § 104A.2303 - Alienability of party's interest under lease contract or of lessor's residual interest in goods; delegation of performance; transfer of rights

§ 104A.2303. Alienability of party's interest under lease contract or of lessor's residual interest in goods; delegation of performance; transfer of rights

1. As used in this section, “creation of a security interest” includes the sale of

a lease contract that is subject to Article 9, Secured Transactions, by reason of

paragraph (c) of subsection 1 of NRS 104.9109 . 2. Except as otherwise provided in subsection 3 and NRS 104.9407 , a provision in a lease agreement which: (a) Prohibits the voluntary or involuntary transfer, including a transfer by sale,

sublease, creation or enforcement of a security interest, or attachment, levy, or

other judicial process, of an interest of a party under the lease contract or of the

lessor's residual interest in the goods; or (b) Makes such a transfer an event of default, gives rise to the rights and remedies provided in subsection 4, but a transfer that

is prohibited or is an event of default under the lease agreement is otherwise effective. 3. A provision in a lease agreement which prohibits a transfer of a right to damages

for default with respect to the whole lease contract or of a right to payment arising

out of the transferor's due performance of his or her entire obligation, or makes

such a transfer an event of default, is not enforceable, and such a transfer is not

a transfer that materially impairs the prospect of obtaining return performance by,

materially changes the duty of, or materially increases the burden or risk imposed

on, the other party to the lease contract within the purview of subsection 4. 4. Except as otherwise provided in subsection 3 and NRS 104.9407 : (a) If a transfer is made which is made an event of default under a lease agreement,

the party to the lease contract not making the transfer, unless that party waives

the default or otherwise agrees, has the rights and remedies described in subsection

2 of NRS 104A.2501 . (b) If paragraph (a) is not applicable and if a transfer is made that is prohibited

under a lease agreement or materially impairs the prospect of obtaining return performance

by, materially changes the duty of, or materially increases the burden or risk imposed

on, the other party to the lease contract, unless the party not making the transfer

agrees at any time to the transfer in the lease contract or otherwise, then, except

as limited by contract, the transferor is liable to the party not making the transfer

for damages caused by the transfer to the extent that the damages could not reasonably

be prevented by the party not making the transfer and a court having jurisdiction

may grant other appropriate relief, including cancellation of the lease contract or

an injunction against the transfer. 5. A transfer of “the lease” or of “all my rights under the lease,” or a transfer

in similar general terms, is a transfer of rights, and, unless the language or the

circumstances, as in a transfer for security, indicate the contrary, the transfer

is a delegation of duties by the transferor to the transferee. Acceptance by the transferee constitutes a promise by the transferee to perform those

duties. The promise is enforceable by either the transferor or the other party to the lease

contract. 6. Unless otherwise agreed by the lessor and the lessee, a delegation of performance

does not relieve the transferor as against the other party of any duty to perform

or of any liability for default. 7. In a consumer lease, to prohibit the transfer of an interest of a party under the

lease contract or to make a transfer an event of default, the language must be specific,

by a writing, and conspicuous.