IV. B. — 4:104 Remedies to be directed towards supplier of the goods

(1)

(a)

the lessor, on the specifications of the lessee, acquires the goods from a supplier selected by the lessee;

(b)

the lessee, in providing the specifications for the goods and selecting the supplier, does not rely primarily on the skill and judgement of the lessor;

(c)

the lessee approves the terms of the supply contract;

(d)

the supplier's obligations under the supply contract are owed, by law or by contract, to the lessee as a party to the supply contract or as if the lessee were a party to that contract; and

(e)

the supplier's obligations owed to the lessee cannot be varied without the consent of the lessee.

(2)

(3)

(a)

any right of the lessee to reject the goods, to terminate the lease under Book III, Chapter 3, Section 5 (Termination) or, prior to acceptance of the goods, to withhold rent to the extent that the lessee could have resorted to these remedies as a party to the supply contract; or

(b)

any remedy of the lessee where a third party right or reasonably based claim prevents, or is otherwise likely to interfere with, the lessee's continuous use of the goods in accordance with the contract.

(4)