paragraph (b).

"Instrument." Section 9-105 9-1102, subsection

(1), paragraph (i) (47).

"Merchant." Section 2-104, subsection (1).

"Mortgage." Section 9-105 9-1102, subsection

(1), paragraph (j) (55).

"Pursuant to commitment." Section 9-105 9-1102, subsection

(1), paragraph (k) (60).

"Receipt." Section 2-103, subsection (1),

paragraph (c).

"Sale." Section 2-106, subsection (1).

"Sale on approval." Section 2-326.

"Sale or return." Section 2-326.

"Seller." Section 2-103, subsection (1),

paragraph (d).

Sec. B-12. 11 MRSA §2-1303, sub-§§(1) and (2), as enacted by PL 1991, c. 805, §4, are amended to read:

(1) As used in this section, "creation of a security interest" includes the sale of a lease contract that is subject to Article 9 9-A, section 9-102 9-1109, subsection (1), paragraph (b) (c).

(2) Except as provided in subsections subsection (3) and (4) section 9-1407, a provision in a lease agreement that: prohibits the voluntary or involuntary transfer, including a transfer by sale, sublease, creation or enforcement of a security interest, or attachment, levy or other judicial process, of an interest of a party under the lease contract or of the lessor's residual interest in the goods; or makes such a transfer an event of default, gives rise to the rights and remedies provided in subsection (5), but a transfer that is prohibited or is an event of default under the lease agreement is otherwise effective.

Sec. B-13. 11 MRSA §2-1303, sub-§(3), as enacted by PL 1991, c. 805, §4, is repealed.