§12A-2A-305.

§12A-2A-305.
   
                    SALE OR SUBLEASE OF GOODS BY LESSEE
                                      
   (1) Subject to the provisions of Section 33 of this act, a buyer or
   sublessee from the lessee of goods under an existing lease contract
   obtains, to the extent of the interest transferred, the leasehold
   interest in the goods that the lessee had or had power to transfer,
   and except as provided in subsection (2) of this section and
   subsection (4) of Section 58 of this act, takes subject to the
   existing lease contract. A lessee with a voidable leasehold interest
   has power to transfer a good leasehold interest to a good faith buyer
   for value or a good faith sublessee for value, but only to the extent
   provided for a buyer or sublessee from the lessee of goods under an
   existing lease contract. When goods have been delivered under a
   transaction of lease the lessee has that power even though:
   
   (a) the lessor was deceived as to the identity of the lessee;
   
   (b) the delivery was in exchange for a check which is later
   dishonored; or
   
   (c) the delivery was procured through fraud punishable as larcenous
   under the criminal law.
   
   (2) A buyer in the ordinary course of business or a sublessee in the
   ordinary course of business from a lessee who is a merchant dealing in
   goods of that kind to whom the goods were entrusted by the lessor
   obtains, to the extent of the interest transferred, all of the
   lessor's and lessee's rights to the goods, and takes free of the
   existing lease contract.
   
   (3) A buyer or sublessee from the lessee 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.