Dear sir,
If a lessor has a right to substitute an asset given to the lessee, with an alternative asset, but that which is IDENTICAL to one previously given. in such a situation will the contract contain a lease?
i understand that if the asset is substituted with a similar asset then the contract won't contain a lease.
Many thanks!
lease- substitution rights
5y ago#1The question that I would ask is whether the asset is an emergency replacement - may still be a lease - I think it's that's kind of criteria
KPMG have a discussion if you bing 'substitution rights ifrs 16'