STATE OF NEW YORK
________________________________________________________________________
6556--A
2019-2020 Regular Sessions
IN ASSEMBLY
March 11, 2019
___________
Introduced by M. of A. BUCHWALD -- read once and referred to the Commit-
tee on Judiciary -- 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.
23 (c) "Occupant" means a person, entitled to the use of the storage
24 space at a [self-service storage] self-storage facility under a written
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09697-02-9
A. 6556--A 2
1 occupancy agreement or his successor or assignee, to the exclusion of
2 others including the owner except as provided in this section or the
3 occupancy agreement.
4 (d) "Occupancy agreement" means any written agreement, electronic or
5 printed, that establishes or modifies the terms, conditions, rules or
6 any other provisions concerning the use and occupancy of a [self-service
7 storage] self-storage facility and any one or more individual storage
8 spaces therein.
9 (e) "Personal property" means movable property not affixed to land and
10 includes, but is not limited to, goods, merchandise and household items.
11 (f) "Electronic mail" shall mean an electronic message or an executa-
12 ble program or computer file that contains an image of a message that is
13 transmitted between two or more computers or electronic terminals. Such
14 term shall include electronic messages that are transmitted within or
15 between computer networks.
16 (g) "Last known address" shall mean the street address, post office
17 box address or electronic mail address provided by the occupant in the
18 occupancy agreement, or a subsequent address provided by the occupant
19 pursuant to the occupancy agreement.
20 (h) "Verified mail" shall mean any method of mailing that is offered
21 by the United States Postal Service or a private delivery service that
22 provides evidence of mailing including, but not limited to, a first
23 class mailing with certificate of mailing.
24 2. Required disclosures. (a) The owner shall be required to provide
25 prior to allowing occupancy a written occupancy agreement which shall be
26 dated and signed by the occupant and the owner or his duly authorized
27 agent, and be written or printed in a size equal to at least ten-point
28 bold type and which shall set forth the following information:
29 (i) name and address of owner and occupant and electronic mail address
30 of owner and occupant should the occupant choose to be contacted via
31 electronic mail;
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.
A. 6556--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] notices: (i) "Notice: The
6 monthly occupancy charge and other charges stated in this agreement are
7 the actual charges you must pay"; (ii) "Notice: You may choose to be
8 contacted for legal matters related to late or lien notices, via elec-
9 tronic mail by providing your electronic mail address in at least two
10 locations within the occupancy agreement".
11 6. Lien. The owner of a [self-service storage] self-storage facility
12 has a lien upon all personal property stored at a [self-service storage]
13 self-storage facility for occupancy fees or other charges, present or
14 future, in relation to the personal property and for expenses necessary
15 for its preservation or expenses reasonably incurred in its sale or
16 other disposition pursuant to law and any other charges pursuant to the
17 occupancy agreement. The lien provided for in this section is superior
18 to any other lien or security interest. The lien attaches as of the date
19 the personal property is brought to the [self-service storage] self-sto-
20 rage facility.
21 7. Enforcement of lien. (a) An owner's lien may be enforced by public
22 or private sale of the occupant's goods that [have been removed from the
23 storage space at a self-service storage] remain in the self-storage
24 facility, in block, or in parcel, at any time or place and on any terms
25 which are commercially reasonable after notice to all persons known to
26 claim an interest in the goods. The notice shall include an itemized
27 statement of the amount due, the description of the property subject to
28 the lien, the nature of the proposed sale, a demand for payment within a
29 specified time not less than [ten] thirty days from [receipt of notifi-
30 cation] mailing of the notice and a conspicuous statement that unless
31 the claimant pays within that time the goods will be advertised for sale
32 and sold at public or private sale in a commercially reasonable manner.
33 The notice shall further include the time and place of any public or
34 private sale and it shall state that any person claiming an interest in
35 the goods is entitled to bring a proceeding hereunder within ten days of
36 the service of the notice if he disputes the validity of the lien, or
37 the amount claimed. The notice shall be personally delivered to the
38 occupant, or sent by registered or certified mail[, return receipt
39 requested,] to the [occupant to the] occupant's last known address
40 [provided by the occupant, pursuant to the occupancy agreement], or sent
41 by verified mail and electronic mail to the occupant's last known
42 address. Any notice made pursuant to this section and sent by verified
43 mail shall be sent to the last known address provided by the occupant,
44 pursuant to the occupancy agreement. Any notice made pursuant to this
45 section and sent by electronic mail shall only be effective if: (i) the
46 occupancy agreement states that the occupant has consented to receive
47 late or lien notices by electronic mail; and (ii) the occupant has
48 provided the occupant's electronic mail address in at least two
49 locations within the occupancy agreement.
50 (b) Any notice given pursuant to this section is deemed delivered when
51 it is: (i) properly addressed to the last known address, and (ii) either
52 sent by registered, certified or verified mail and evidence of mailing
53 is received, or sent by electronic mail and either a non-automated
54 response to the electronic mail is received or a receipt of delivery to
55 the electronic mail is received.
56 § 2. This act shall take effect immediately.
