Common use of Refusal of the Lessee to accept the Leased Item Clause in Contracts

Refusal of the Lessee to accept the Leased Item. If the Lessee refuses to accept any Leased Item with Defects, a corresponding entry shall be made in the relevant Acceptance Certificate. In this case, the Lessee shall have the right either to set a new commensurate period for the delivery of a serviceable Leased Item by the relevant Seller, or, if no agreement is reached on the delivery terms, to terminate the relevant Agreement with compensation to the Lessor for all expenses actually incurred by in connection with the performance of the relevant Agreement (subject to these General Terms and Conditions) until its termination. Reimbursement of the above expenses shall be made less the payments actually received by the Lessor from the relevant Seller in connection with the termination of the relevant purchase and sale agreement for the Leased Item. If, at the time of reimbursement of expenses by the Lessee, the Lessor has outstanding debts of such a Seller on unfulfilled obligations in connection with the termination of the relevant purchase and sale agreement for the Leased Item, the Lessor shall assign such debts to the Lessee, after the latter reimburses all expenses actually incurred by the Lessor that are not compensated by such a Seller, related to the performance of the relevant Agreement until its termination.