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HomeCommercial CodeDiv. 10Ch. 1§ 10106 Consumer Lease Forum Selection

§ 10106 Consumer Lease Forum Selection

Commercial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 10106 Consumer Lease Forum Selection

This law says that if you rent something (like a car or furniture) as a regular person, the company can't force you to follow the laws of a far-away place or go to court there. You get to use the laws and courts where you live or where you signed the rental agreement.

Key Takeaways

  • •If you rent something as a regular person, the company can't make you follow the laws of a place you don't live in.
  • •You can't be forced to go to court in a far-away place if you have a problem with the rental.
  • •The laws and courts where you live or signed the rental agreement are the ones that count.

Example

You rent a TV in California, but the rental agreement says any problems must be handled by the laws of New York or in a New York court.

This law says that's not fair. You can use California laws and courts instead because that's where you live and signed the agreement.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 10106 Consumer Lease Forum Selection

(a) If the law chosen by the parties to a consumer lease is that of a jurisdiction other than a jurisdiction in which the lessee resides at the time the lease agreement becomes enforceable or within 30 days thereafter, in which the goods are to be used, or in which the lease is executed by the lessee, the choice is not enforceable. (b) If the judicial forum chosen by the parties to a consumer lease is in a county other than the county in which the lessee in fact signed the lease, the county in which the lessee resides at the commencement of the action, the county in which the lessee resided at the time the lease contract became enforceable, or the county in which the goods are permanently stored, the choice is not enforceable. (Amended by Stats. 1991, Ch. 111, Sec. 6. Effective July 15, 1991.)

Last verified: January 10, 2026

Key Terms

consumer leasechoice of lawjudicial forumlesseeenforceable

Related Statutes

  • § 8113 Security Contract Enforceability
  • § 10101 Uniform Commercial Code Leases
  • § 10102 Hybrid Lease Application
  • § 10103 Buyer In Ordinary Course Definition
  • § 10104 Lease Title And Consumer Law

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Commercial Code. Section 10106.
View Official Source