senate Bill S7576

Provides for the delivery of a notice of enforcement of a lien by means of verified electronic mail

download pdf

Sponsor

Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
view actions

actions

  • 15 / May / 2014
    • REFERRED TO JUDICIARY

Summary

Provides for the delivery of a notice of enforcement of a lien by means of verified electronic mail.

do you support this bill?

Bill Details

See Assembly Version of this Bill:
A9960
Versions:
S7576
Legislative Cycle:
2013-2014
Current Committee:
Senate Judiciary
Law Section:
Lien Law
Laws Affected:
Amd ยง182, Lien L

Sponsor Memo

BILL NUMBER:S7576 REVISED MEMO 05/22/2014

TITLE OF BILL: An act to amend the lien law, in relation to notice of
enforcement of a lien

PURPOSE:

The purpose of the bill is to allow for more efficient modes of
communication between owner and occupant in self storage operations to
better serve the purpose of notifying occupants of their account
status and other important information.

SUMMARY OF PROVISIONS:

Section 1: Provides definitions. Section 1 of the bill amends
subdivision 1 of section 182 of the Lien Law by adding three new
paragraphs defining "electronic mail", "verified mail", "verified
electronic mail" and amending "last known address".

Section 2: Amends subdivision 7 of section 182 of the Lien Law to
allow that the owner's lien notice be personally delivered to the
occupant, or sent by verified mail or verified electronic mail to the
occupant's last known address provided by the occupant, pursuant to
the occupancy agreement.

Section 3: Provides for this act to take effect immediately.

EXISTING LAW:

Under current law, requires the notice to personally delivered to the
occupant, or sent by registered or certified mail, return receipt
requested, to the occupant to the last address provided by the
occupant, pursuant to the occupancy agreement.

JUSTIFICATION:

Under the Lien Law, self-service storage facility operators have lien
enforcement rights to collect overdue fees and to recover their
storage space from a delinquent occupant by conducting a lien sale of
the contents of their unit as a last resort.

This legislation will expand notification options for self storage
operations to allow the use of verified mail and verified email when
notifying defaulted tenants of impending lien procedures. Utilization
of these methods will help to ensure that self storage tenants are
being notified of their account status in a timely manner.

Sending lien notices via "verified mail" provides proof that the
letter was mailed and insures that if the Post Office has a change of
address on file, the letter will be forwarded. Verified mail is
defined as "any method of mailing that is offered by the United States
Postal Service or private delivery service that provides evidence of
mailing". Examples of available methods of mailing under this
definition include: certified mail, certificate of mailing, return
receipt, registered mail, signature confirmation, USPS tracking.


Verified e-mail means electronic mail that is transmitted to an e-mail
address that the occupant has verified as being their operable e-mail
address and has expressly elected to receive notice by email to that
address. While self storage tenants tend to be mobile, they are less
likely to change their email address. While status of a mailing
address may be in flux, e-mail moves with the tenant and can be
accessed anywhere there is an internet connection. They are more
likely to receive notices and read them when contacted electronically.

Through the use of everyday technology, this legislation will improve
communications between landlord and tenant in the self storage
industry and reduce the financial responsibilities of those tenants
who are already struggling to make ends meet.

With the addition of verified mail and verified electronic mail
notification, more tenants will have received and read important
notices and will therefore be more aware of their financial
responsibilities which will reduce chances of default without the
additional burden of high advertising and mailings costs to the
landlord.

LEGISLATIVE HISTORY:

New Bill.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

Immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7576

                            I N  S E N A T E

                              May 15, 2014
                               ___________

Introduced  by  Sen.  LARKIN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Judiciary

AN ACT to amend the lien law, in relation to notice of enforcement of  a
  lien

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 1 of section 182 of the lien law is amended  by
adding four new paragraphs (f), (g), (h) and (i) to read as follows:
  (F)  "ELECTRONIC MAIL" SHALL MEAN AN ELECTRONIC MESSAGE OR AN EXECUTA-
BLE PROGRAM OR COMPUTER FILE THAT CONTAINS AN IMAGE OF A MESSAGE THAT IS
TRANSMITTED BETWEEN TWO OR MORE COMPUTERS OR ELECTRONIC TERMINALS.  SUCH
TERM  SHALL  INCLUDE  ELECTRONIC MESSAGES THAT ARE TRANSMITTED WITHIN OR
BETWEEN COMPUTER NETWORKS.
  (G) "LAST KNOWN ADDRESS" SHALL MEAN THE POSTAL ADDRESS  OR  ELECTRONIC
MAIL ADDRESS PROVIDED BY THE OCCUPANT IN THE LATEST OCCUPANCY AGREEMENT,
OR  THE  POSTAL ADDRESS OR ELECTRONIC MAIL ADDRESS PROVIDED BY THE OCCU-
PANT IN A SUBSEQUENT WRITTEN NOTICE OF A CHANGE OF ADDRESS.
  (H) "VERIFIED MAIL" SHALL MEAN ANY METHOD OF MAILING THAT  IS  OFFERED
BY  THE  UNITED  STATES  POSTAL SERVICE OR PRIVATE DELIVERY SERVICE THAT
PROVIDES EVIDENCE OF MAILING.
  (I) "VERIFIED ELECTRONIC MAIL" MEANS ELECTRONIC MAIL THAT IS TRANSMIT-
TED TO AN E-MAIL ADDRESS THAT THE OCCUPANT HAS VERIFIED AS  BEING  THEIR
OPERABLE  E-MAIL  ADDRESS AND HAS EXPRESSLY ELECTED TO RECEIVE NOTICE BY
ELECTRONIC MAIL TO THAT ADDRESS.
  S 2. Subdivision 7 of section 182 of the lien law, as added by chapter
975 of the laws of 1983, is amended to read as follows:
  7. Enforcement of lien. (A) An owner's lien may be enforced by  public
or  private  sale  of  the goods that have been removed from the storage
space at a self-service storage facility, in block, or in parcel, at any
time or place and on any terms which are commercially  reasonable  after
notice  to  all  persons  known  to  claim an interest in the goods. The
notice shall include an  itemized  statement  of  the  amount  due,  the
description  of  the  property  subject  to  the lien, the nature of the
proposed sale, a demand for payment within a  specified  time  not  less

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15283-01-4

S. 7576                             2

than  ten  days from receipt of notification and a conspicuous statement
that unless the claimant pays within that time the goods will be  adver-
tised  for  sale  and  sold  at public or private sale in a commercially
reasonable  manner.  The notice shall further include the time and place
of any public or private sale and it shall state that any person  claim-
ing an interest in the goods is entitled to bring a proceeding hereunder
within ten days of the service of the notice if he disputes the validity
of  the  lien,  or  the  amount  claimed. The notice shall be personally
delivered to the occupant, or sent by  [registered  or  certified  mail,
return  receipt requested,] VERIFIED MAIL OR VERIFIED ELECTRONIC MAIL to
the [occupant to the] OCCUPANT'S last  KNOWN  address  provided  by  the
occupant, pursuant to the occupancy agreement.
  (B)  ANY NOTICE MADE PURSUANT TO THIS SECTION SHALL BE PRESUMED DELIV-
ERED WHEN IT IS DEPOSITED WITH  THE  UNITED  STATES  POSTAL  SERVICE  OR
PRIVATE DELIVERY SERVICE, AND PROPERLY ADDRESSED WITH POSTAGE PREPAID OR
SENT BY VERIFIED ELECTRONIC MAIL TO THE OCCUPANT'S LAST KNOWN ADDRESS.
  S 3. This act shall take effect immediately.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.