Bill Text: NY S05347 | 2015-2016 | General Assembly | Amended


Bill Title: Provides for the delivery of a notice of enforcement of a lien upon a self-storage facility.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Introduced - Dead) 2016-05-26 - PRINT NUMBER 5347A [S05347 Detail]

Download: New_York-2015-S05347-Amended.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                         5347--A
                               2015-2016 Regular Sessions
                    IN SENATE
                                      May 13, 2015
                                       ___________
        Introduced  by  Sens. LARKIN, RITCHIE -- read twice and ordered printed,
          and when printed to be committed to  the  Committee  on  Judiciary  --
          recommitted  to  the  Committee on Judiciary in accordance with Senate
          Rule  6,  sec.  8  --  committee  discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee
        AN  ACT to amend the lien law, in relation to notice of enforcement of a
          lien on the goods in a self-storage facility
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.    The  section  heading and subdivisions 1, 2, 6 and 7 of
     2  section 182 of the lien law, as added by chapter  975  of  the  laws  of
     3  1983, are amended to read as follows:
     4    [Self-service  storage] Self-storage facilities; lien. 1. Definitions.
     5  As used in this article:
     6    (a) ["Self-service storage] "Self-storage  facility"  means  any  real
     7  property  or a portion thereof that is designed and used for the purpose
     8  of occupying storage space by occupants who are to have  access  thereto
     9  for  the purpose of storing and removing personal property. The owner of
    10  a [self-service storage] self-storage facility shall not be deemed to be
    11  a warehouseman as defined in the  uniform  commercial  code.  Except  as
    12  provided  in  paragraph  (b) of this subdivision, if an owner issues any
    13  warehouse receipt, bill of lading, or other document of  title  for  the
    14  personal  property stored, the owner and the occupant are subject to the
    15  provisions of the uniform commercial code and  the  provisions  of  this
    16  section shall not be applicable.
    17    (b)  "Owner" means a person, partnership or corporation which operates
    18  a [self-service storage] self-storage facility, an agent, or  any  other
    19  person  authorized  by  the  owner  to manage the facility or to receive
    20  storage fees from an occupant under an occupancy agreement. A warehouse-
    21  man may be an owner to the extent that any part of the building is oper-
    22  ated as a [self-service storage] self-storage facility.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03797-04-6

        S. 5347--A                          2
     1    (c) "Occupant" means a person, entitled to  the  use  of  the  storage
     2  space  at a [self-service storage] self-storage facility under a written
     3  occupancy agreement or his successor or assignee, to  the  exclusion  of
     4  others  including  the  owner  except as provided in this section or the
     5  occupancy agreement.
     6    (d)  "Occupancy  agreement" means any written agreement, electronic or
     7  printed, that establishes or modifies the terms,  conditions,  rules  or
     8  any other provisions concerning the use and occupancy of a [self-service
     9  storage]  self-storage  facility  and any one or more individual storage
    10  spaces therein.
    11    (e) "Personal property" means movable property not affixed to land and
    12  includes, but is not limited to, goods, merchandise and household items.
    13    (f) "Electronic mail" shall mean an electronic message or an  executa-
    14  ble program or computer file that contains an image of a message that is
    15  transmitted  between two or more computers or electronic terminals. Such
    16  term shall include electronic messages that are  transmitted  within  or
    17  between computer networks.
    18    (g)  "Last  known  address" shall mean the street address, post office
    19  box address or electronic mail address provided by the occupant  in  the
    20  occupancy  agreement,  or  a subsequent address provided by the occupant
    21  pursuant to the occupancy agreement.
    22    (h) "Verified mail" shall mean any method of mailing that  is  offered
    23  by  the  United States Postal Service or a private delivery service that
    24  provides evidence of mailing including, but  not  limited  to,  a  first
    25  class mailing with certificate of mailing.
    26    2.  Required  disclosures.  (a) The owner shall be required to provide
    27  prior to allowing occupancy a written occupancy agreement which shall be
    28  dated and signed by the occupant and the owner or  his  duly  authorized
    29  agent,  and  be written or printed in a size equal to at least ten-point
    30  bold type and which shall set forth the following information:
    31    (i) name and address of owner and occupant;
    32    (ii) street address of [self-service  storage]  self-storage  facility
    33  where goods will be stored;
    34    (iii)  the actual monthly occupancy charge for the particular goods to
    35  be stored expressed in dollars;
    36    (iv) an itemization of other charges imposed or which may  be  imposed
    37  in  connection  with  the  occupancy, a description of each such charge,
    38  whether the charge is mandatory or optional,  and  the  amount  of  each
    39  charge expressed in dollars;
    40    (v)  a  statement  of  any  limitation of damages [which shall only be
    41  applicable after the owner has enforced his lien pursuant to subdivision
    42  seven of this section] limiting the amount of the owner's  liability  in
    43  case  of  loss or damage of the goods setting forth a specific liability
    44  per room size or dollar amount  beyond  which  the  owner  will  not  be
    45  liable;  provided  that  if damages are so limited, a statement shall be
    46  included that such liability may on the written request of the  occupant
    47  and  if  accepted  in  writing  by the owner at the time of signing such
    48  occupancy agreement or within a reasonable time thereafter be  increased
    49  on  part  or all of the goods stored, in which event increased rates may
    50  be charged based on such increased valuation. The rates charged  for  an
    51  increased  valuation shall be set forth and a pre-addressed request form
    52  to enable the occupant  to  request  an  increased  valuation  shall  be
    53  provided; and
    54    (vi)  any  other material terms and conditions of the occupancy trans-
    55  action.

        S. 5347--A                          3
     1    (b) Every occupancy  agreement  as  required  by  this  section  shall
     2  include  the  business  address  and  telephone number to be used by the
     3  occupant in making inquiries concerning the occupancy transaction.
     4    (c)  Every  occupancy  agreement  as  required  by  this section shall
     5  contain the following conspicuous notice:
     6  "Notice: The monthly occupancy charge and other charges stated  in  this
     7  agreement are the actual charges you must pay".
     8    6.  Lien.  The owner of a [self-service storage] self-storage facility
     9  has a lien upon all personal property stored at a [self-service storage]
    10  self-storage facility for occupancy fees or other  charges,  present  or
    11  future,  in relation to the personal property and for expenses necessary
    12  for its preservation or expenses reasonably  incurred  in  its  sale  or
    13  other  disposition pursuant to law and any other charges pursuant to the
    14  occupancy agreement. The lien provided for in this section  is  superior
    15  to any other lien or security interest. The lien attaches as of the date
    16  the personal property is brought to the [self-service storage] self-sto-
    17  rage facility.
    18    7.  Enforcement of lien. (a) An owner's lien may be enforced by public
    19  or private sale of the goods [that],  whether  or  not  they  have  been
    20  removed  from the storage space at a [self-service storage] self-storage
    21  facility, in block, or in parcel, at any time or place and on any  terms
    22  which  are  commercially reasonable after notice to all persons known to
    23  claim an interest in the goods. The notice  shall  include  an  itemized
    24  statement  of the amount due, the description of the property subject to
    25  the lien, the nature of the proposed sale, a demand for payment within a
    26  specified time not less than [ten] twenty days from [receipt of  notifi-
    27  cation]  mailing  of  the notice and a conspicuous statement that unless
    28  the claimant pays within that time the goods will be advertised for sale
    29  and sold at public or private sale in a commercially reasonable  manner.
    30  The  notice  shall  further  include the time and place of any public or
    31  private sale and it shall state that any person claiming an interest  in
    32  the goods is entitled to bring a proceeding hereunder within ten days of
    33  the  service  of  the notice if he disputes the validity of the lien, or
    34  the amount claimed. The notice shall either be personally  delivered  to
    35  the  occupant,  or sent [by registered or certified mail, return receipt
    36  requested,] to the [occupant  to  the]  occupant's  last  known  address
    37  [provided by the occupant, pursuant to the occupancy agreement] by veri-
    38  fied mail or electronic mail.
    39    (b)  Any  notice  made pursuant to this section and sent by electronic
    40  mail to the occupant's last known address shall only be effective  if  a
    41  nonautomated  response or a receipt of delivery to the e-mail address is
    42  received. If the owner deposits the notice of the sale with  the  United
    43  States Postal Service or a private delivery service, the notice shall be
    44  sent  to  the  occupant  by  verified  mail to the occupant's last known
    45  address or to the last known address of  the  designated  agent  of  the
    46  occupant before proceeding with a sale of the goods.
    47    § 2. This act shall take effect immediately.
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