New York Uniform Commercial Code Law Section 2-A-512 - Lessee's Duties as to Rightfully Rejected Goods.

Section 2-A-512. Lessee's Duties as to Rightfully Rejected Goods.
(1)  Except  as otherwise provided with respect to goods that threaten
  to decline in value  speedily  (Section  2-A-511)  and  subject  to  any
  security interest of a lessee (Section 2-A-508(5)):
     (a) the   lessee,  after  rejection  of  goods  in  the  lessee's
         possession, shall hold  them  with  reasonable  care  at  the
         lessor's  or the supplier's disposition for a reasonable time
         after the lessee's seasonable notification of rejection;
     (b) if the lessor or the supplier gives no instructions within  a
         reasonable  time  after notification of rejection, the lessee
         may  store  the  rejected  goods  for  the  lessor's  or  the
         supplier's account or ship them to the lessor or the supplier
         or dispose of them for the lessor's or the supplier's account
         with reimbursement in the manner provided in Section 2-A-511;
         but
     (c) the  lessee  has  no further obligations with regard to goods
         rightfully rejected.
(2) Action by the lessee pursuant to subsection (1) is not  acceptance
  or conversion.

Last modified: February 3, 2019