In the event of a lessor's bankruptcy, the lessor's legal position with the leased asset is this.

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In the event of a lessor's bankruptcy, the lessor's legal position with the leased asset is that the lessor owes only the amount associated with the remainder of the asset's lease. The remaining payments due will be paid to the bankruptcy trustee, who will use them to pay off creditors, including any secured creditors who hold a lien on the leased asset. However, the lessee's obligation to continue making lease payments remains unchanged. The lessee may also have the right to terminate the lease in the event of the lessor's bankruptcy, but this depends on the terms of the lease agreement and applicable law.

In the Event of a Lessor's Bankruptcy, the Lessor's Legal