Consumer Warranty Law: 21.1.2 Types of Consumer Leases
In one common type of lease, the retailer negotiates the transaction, completes the lease paperwork, signs the lease as the originating lessor, and then immediately assigns the lease to a financer. For example, a Nissan automobile dealer will sign a Nissan Motors Acceptance Corp. (NMAC) lease in the dealer’s name and assign the lease to NMAC. While the lease will have NMAC’s name at the top and be on a NMAC form, the original lessor will be the dealer, not NMAC. The Consumer Leasing Act requires that a lease disclose the lessor, and the lease will list the dealer as the lessor.