§12A-2A-304.

§12A-2A-304.
   
                    SUBSEQUENT LEASE OF GOODS BY LESSOR
                                      
   (1) Subject to Section 2A-303 of this title, a subsequent lessee from
   a lessor of goods under an existing lease contract obtains, to the
   extent of the leasehold interest transferred, the leasehold interest
   in the goods that the lessor had or had power to transfer, and except
   as provided in subsection (2) of this section and subsection (4) of
   Section 2A-527 of this title, takes subject to the existing lease
   contract. A lessor with voidable title has power to transfer a good
   leasehold interest to a good faith subsequent lessee for value, but
   only to the extent set forth in the preceding sentence. If goods have
   been delivered under a transaction of purchase, the lessor has that
   power even though:
   
   (a) the lessor's transferor was deceived as to the identity of the
   lessor;
   
   (b) the delivery was in exchange for a check which is later
   dishonored;
   
   (c) it was agreed that the transaction was to be a "cash sale"; or
   
   (d) the delivery was procured through fraud punishable as larcenous
   under the criminal law.
   
   (2) A subsequent lessee in the ordinary course of business from a
   lessor who is a merchant dealing in goods of that kind to whom the
   goods were entrusted by the existing lessee of that lessor before the
   interest of the subsequent lessee became enforceable against that
   lessor obtains, to the extent of the leasehold interest transferred,
   all of that lessor's and the existing lessee's rights to the goods,
   and takes free of the existing lease contract.
   
   (3) A subsequent lessee from the lessor of goods that are subject to
   an existing lease contract and are covered by a certificate of title
   issued under a statute of this state or of another jurisdiction takes
   no greater rights than those provided both by this section and by the
   certificate of title statute.