If assurance is not given in a reasonable time, the contract may be treated as repudiated. When performance is impaired without the fault of either party, because of such events as failure of an agreed means of transport, a commercially reasonable substitute must be accepted. These are examples of the options open to contracting parties. Default Upon default, UCC2A provides remedies in Part 5, including damages and equitable remedies, such as specific performance. That is, a party may seek goods from another source to limit losses.
Mitigation of damages is encouraged.
The general measure of any damage is actual loss. A lease involves a security interest, dependent upon four alternative factors or characteristics. Conclusion UCC 2A is comprehensive, dealing with every phase of leasing transactions. It draws a great share of its concepts from Article 2 of the UCC, but it is adapted to the peculiarities of the leasing form. It is an important advance in commercial law.