Anthony and Grace Cucchi transacted with Rollins Protective Services for the installation of a burglar alarm system in their home. Anthony Cucchi and a sales representative for Rollins signed a printed form entitled “Installation-Service Contract” in which Cucchi would pay the sum of $500.00 for installation of the burglar alarm system and a $15.00 monthly fee for service and maintenance of the system. This contract further provided that the “Rollins Protective System shall remain personal property and title thereto shall continue in Rollins” and that upon termination of the contract, the alarm system would be returned to Rollins. Additionally, the contract contained a $250.00 limitation of liability provision for all loss or damage resulting from failure of the system in operation or performance.

CASE QUESTIONS

1. In your opinion, was the transaction in this case a lease or a sale?

2. Why do Article 2 and Article 2A have different writing requirements for leases and sales?