Legal Question in Business Law in Colorado

How Illegality Doctrine applies to my lease of medical equipment

I am leasing medical equipment, which I ordered from abroad. If, in the future, fda sends me a letter, declaring that the equipment doesn't comply with fda standards, and is therefore illegal, does this allow me to stop paying on my lease? The leasing company did not assist me in locating the equipment, but knew that it was coming from abroad. They specialize in Medical Leasing. They never questioned whether it might be illegal. Can they enforce a lease(contract) for something that may become illegal?


Asked on 2/05/02, 5:32 pm

1 Answer from Attorneys
Eric Fisher Law Office of Eric A. Fisher. LLC

Re: How Illegality Doctrine applies to my lease of medical equipment

Just because FDA has not approved equipment does not mean it is "illegal."

Your lease should have included a provision allowing termination if governmental approvals cannot be obtained.

If the equipment is really "illegal" you may be able to argue a way out of the lease, but the answer is dependent on what the lease says and how the equipment is characterized.

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Answered on 2/06/02, 11:24 am


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