Notwithstanding any other provision of law, in the case of motor vehicles, trailers or semi-trailers, a transaction does not create a sale or security interest merely because it provides that the rental price is permitted or required to be adjusted under the agreement either upward or downward by reference to the amount realized upon sale or other disposition of the motor vehicle or trailer.
Va. Code Ann. § 46.2-640.1
Vehicle leases that are not sales or security interests
Applied in 2 court decisions — leading case In Re Architectural Millwork of Virginia, Inc. (1998)
Most recently applied in Enterprise Leasing Co. of Norfolk/Richmond v. Mepco, Inc. (In Re Mepco, Inc.) (November 2001)
1991, c. 536.
Official source: Virginia Law Portal (LIS). Reproduced from public-domain Virginia statutes; confirm against the official source for the current text. Not legal advice.