S T A T E   O F   N E W   Y O R K
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                                 3411--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 22, 2015
                               ___________

Introduced by M. of A. TITONE -- read once and referred to the Committee
  on  Judiciary  -- recommitted to the Committee on Judiciary in accord-
  ance with Assembly Rule  3,  sec.  2  --  committee  discharged,  bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee

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:

  Section 1.  The section heading and subdivisions 1,  2,  6  and  7  of
section  182  of  the  lien  law, as added by chapter 975 of the laws of
1983, are amended to read as follows:
  [Self-service storage] SELF-STORAGE facilities; lien. 1.  Definitions.
As used in this article:
  (a)  ["Self-service  storage]  "SELF-STORAGE  facility" means any real
property or a portion thereof that is designed and used for the  purpose
of  occupying  storage space by occupants who are to have access thereto
for the purpose of storing and removing personal property. The owner  of
a [self-service storage] SELF-STORAGE facility shall not be deemed to be
a  warehouseman  as  defined  in  the uniform commercial code. Except as
provided in paragraph (b) of this subdivision, if an  owner  issues  any
warehouse  receipt,  bill  of lading, or other document of title for the
personal property stored, the owner and the occupant are subject to  the
provisions  of  the  uniform  commercial code and the provisions of this
section shall not be applicable.
  (b) "Owner" means a person, partnership or corporation which  operates
a  [self-service  storage] SELF-STORAGE facility, an agent, or any other
person authorized by the owner to manage  the  facility  or  to  receive
storage fees from an occupant under an occupancy agreement. A warehouse-
man may be an owner to the extent that any part of the building is oper-
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.
                                                           LBD03797-05-6
              

A. 3411--A                          2

  (c)  "Occupant"  means  a  person,  entitled to the use of the storage
space at a [self-service storage] SELF-STORAGE facility under a  written
occupancy  agreement  or  his successor or assignee, to the exclusion of
others including the owner except as provided in  this  section  or  the
occupancy agreement.
  (d)  "Occupancy  agreement" means any written agreement, ELECTRONIC OR
PRINTED, that establishes or modifies the terms,  conditions,  rules  or
any other provisions concerning the use and occupancy of a [self-service
storage]  SELF-STORAGE  facility  and any one or more individual storage
spaces therein.
  (e) "Personal property" means movable property not affixed to land and
includes, but is not limited to, goods, merchandise and household items.
  (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 STREET ADDRESS, POST OFFICE
BOX ADDRESS OR ELECTRONIC MAIL ADDRESS PROVIDED BY THE OCCUPANT  IN  THE
OCCUPANCY  AGREEMENT,  OR  A SUBSEQUENT ADDRESS PROVIDED BY THE OCCUPANT
PURSUANT TO THE OCCUPANCY AGREEMENT.
  (H) "VERIFIED MAIL" SHALL MEAN ANY METHOD OF MAILING THAT  IS  OFFERED
BY  THE  UNITED STATES POSTAL SERVICE OR A PRIVATE DELIVERY SERVICE THAT
PROVIDES EVIDENCE OF MAILING INCLUDING, BUT  NOT  LIMITED  TO,  A  FIRST
CLASS MAILING WITH CERTIFICATE OF MAILING.
  2.  Required  disclosures.  (a) The owner shall be required to provide
prior to allowing occupancy a written occupancy agreement which shall be
dated and signed by the occupant and the owner or  his  duly  authorized
agent,  and  be written or printed in a size equal to at least ten-point
bold type and which shall set forth the following information:
  (i) name and address of owner and occupant;
  (ii) street address of [self-service  storage]  SELF-STORAGE  facility
where goods will be stored;
  (iii)  the actual monthly occupancy charge for the particular goods to
be stored expressed in dollars;
  (iv) an itemization of other charges imposed or which may  be  imposed
in  connection  with  the  occupancy, a description of each such charge,
whether the charge is mandatory or optional,  and  the  amount  of  each
charge expressed in dollars;
  (v)  a  statement  of  any  limitation of damages [which shall only be
applicable after the owner has enforced his lien pursuant to subdivision
seven of this section] limiting the amount of the owner's  liability  in
case  of  loss or damage of the goods setting forth a specific liability
per room size or dollar amount  beyond  which  the  owner  will  not  be
liable;  provided  that  if damages are so limited, a statement shall be
included that such liability may on the written request of the  occupant
and  if  accepted  in  writing  by the owner at the time of signing such
occupancy agreement or within a reasonable time thereafter be  increased
on  part  or all of the goods stored, in which event increased rates may
be charged based on such increased valuation. The rates charged  for  an
increased  valuation shall be set forth and a pre-addressed request form
to enable the occupant  to  request  an  increased  valuation  shall  be
provided; and
  (vi)  any  other material terms and conditions of the occupancy trans-
action.

A. 3411--A                          3

  (b) Every occupancy  agreement  as  required  by  this  section  shall
include  the  business  address  and  telephone number to be used by the
occupant in making inquiries concerning the occupancy transaction.
  (c)  Every  occupancy  agreement  as  required  by  this section shall
contain the following conspicuous notice:
"Notice: The monthly occupancy charge and other charges stated  in  this
agreement are the actual charges you must pay".
  6.  Lien.  The owner of a [self-service storage] SELF-STORAGE facility
has a lien upon all personal property stored at a [self-service storage]
SELF-STORAGE facility for occupancy fees or other  charges,  present  or
future,  in relation to the personal property and for expenses necessary
for its preservation or expenses reasonably  incurred  in  its  sale  or
other  disposition pursuant to law and any other charges pursuant to the
occupancy agreement. The lien provided for in this section  is  superior
to any other lien or security interest. The lien attaches as of the date
the personal property is brought to the [self-service storage] SELF-STO-
RAGE facility.
  7.  Enforcement of lien. (A) An owner's lien may be enforced by public
or private sale of the goods [that],  WHETHER  OR  NOT  THEY  have  been
removed  from the storage space at a [self-service storage] SELF-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 than [ten] TWENTY days from [receipt of  notifi-
cation]  MAILING  OF  THE NOTICE and a conspicuous statement that unless
the claimant pays within that time the goods will be advertised 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 claiming 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 EITHER be personally  delivered  to
the  occupant,  or sent [by registered or certified mail, return receipt
requested,] to the [occupant  to  the]  OCCUPANT'S  last  KNOWN  address
[provided by the occupant, pursuant to the occupancy agreement] BY VERI-
FIED MAIL OR ELECTRONIC MAIL.
  (B)  ANY  NOTICE  MADE PURSUANT TO THIS SECTION AND SENT BY ELECTRONIC
MAIL TO THE OCCUPANT'S LAST KNOWN ADDRESS SHALL ONLY BE EFFECTIVE  IF  A
NONAUTOMATED  RESPONSE OR A RECEIPT OF DELIVERY TO THE E-MAIL ADDRESS IS
RECEIVED. IF THE OWNER DEPOSITS THE NOTICE OF THE SALE WITH  THE  UNITED
STATES POSTAL SERVICE OR A PRIVATE DELIVERY SERVICE, THE NOTICE SHALL BE
SENT  TO  THE  OCCUPANT  BY  VERIFIED  MAIL TO THE OCCUPANT'S LAST KNOWN
ADDRESS OR TO THE LAST KNOWN ADDRESS OF  THE  DESIGNATED  AGENT  OF  THE
OCCUPANT BEFORE PROCEEDING WITH A SALE OF THE GOODS.
  S 2. This act shall take effect immediately.