Commercial Code section 10520

(a)

Incidental damages resulting from a lessor’s default include expenses reasonably incurred in inspection, receipt, transportation, and care and custody of goods rightfully rejected or goods the acceptance of which is justifiably revoked, any commercially reasonable charges, expenses, or commissions in connection with effecting cover, and any other reasonable expense incident to the default.

(b)

Consequential damages resulting from a lessor’s default include:

(1)

Any loss resulting from general or particular requirements and needs of which the lessor at the time of contracting had reason to know and which could not reasonably be prevented by cover or otherwise; and

(2)

Injury to person or property proximately resulting from any breach of warranty.

Source: Section 10520, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=COM§ionNum=10520.­ (updated Jul. 15, 1991; accessed Oct. 13, 2025).

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Verified:
Oct. 13, 2025

§ 10520's source at ca​.gov