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This entry was published on 2019-11-01
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SECTION 182
Self-storage facilities; lien
Lien (LIE) CHAPTER 33, ARTICLE 8
§ 182. Self-storage facilities; lien. 1. Definitions. As used in this
article:

(a) "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-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-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 warehouseman may be an owner to the
extent that any part of the building is operated as a self-storage
facility.

(c) "Occupant" means a person, entitled to the use of the storage
space at a 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-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
executable 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 and electronic mail address
of owner and occupant should the occupant choose to be contacted via
electronic mail;

(ii) street address of 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 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
transaction.

(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 notices: (i) "Notice: The monthly
occupancy charge and other charges stated in this agreement are the
actual charges you must pay"; (ii) "Notice: You may choose to be
contacted for legal matters related to late or lien notices, via
electronic mail by providing your electronic mail address in at least
two locations within the occupancy agreement".

3. Unlawful detention of goods. It shall constitute an unlawful
detention of goods for an owner to refuse to surrender goods stored by
him for an occupant upon payment by the occupant of the occupancy fees
permitted by this section.

4. Private right of action. (a) Any occupant damaged by an unlawful
detention of his goods or any other violation of this section may bring
an action for recovery of damages and the return of his goods. Judgment
may be entered in an amount not to exceed three times the actual damages
plus reasonable attorneys fees.

(b) Nothing in this section shall be construed so as to nullify or
impair any right or rights which a buyer may have against a seller at
common law, by statute or otherwise.

5. Violation and penalties. Whenever there shall be a violation of
this section, an application may be made by the attorney general in the
name of the people of the state to a court or justice having
jurisdiction by a special proceeding to issue an injunction, and upon
notice to the defendant of not less than five days, to enjoin and
restrain the continuance of such violations; and if it shall appear to
the satisfaction of the court or justice that the defendant has, in
fact, violated this section an injunction may be issued by such court or
justice, enjoining and restraining any further violation, without
requiring proof that any person has, in fact, been injured or damaged
thereby. In any such proceeding, the court may make allowances to the
attorney general as provided in paragraph six of subdivision (a) of
section eighty-three hundred three of the civil practice law and rules,
and direct restitution. Whenever the court shall determine that a
violation of this section has occurred, the court may impose a civil
penalty of not more than one thousand dollars for each violation. In
connection with any such proposed application, the attorney general is
authorized to take proof and make a determination of the relevant facts
and to issue subpoenas in accordance with the civil practice law and
rules.

6. Lien. The owner of a self-storage facility has a lien upon all
personal property stored at a 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-storage facility.

7. Enforcement of lien. (a) An owner's lien may be enforced by public
or private sale of the occupant's goods that remain in the 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 thirty days from 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 be personally delivered to the occupant, or sent by registered or
certified mail to the occupant's last known address, or sent by verified
mail and electronic mail to the occupant's last known address. Any
notice made pursuant to this section and sent by verified mail shall be
sent to the last known address provided by the occupant, pursuant to the
occupancy agreement. Any notice made pursuant to this section and sent
by electronic mail shall only be effective if: (i) the occupancy
agreement states that the occupant has consented to receive late or lien
notices by electronic mail; and (ii) the occupant has provided the
occupant's electronic mail address in at least two locations within the
occupancy agreement.

(b) Any notice given pursuant to this section is deemed delivered when
it is: (i) properly addressed to the last known address, and (ii) either
sent by registered, certified or verified mail and evidence of mailing
is received, or sent by electronic mail and either a non-automated
response to the electronic mail is received or a receipt of delivery to
the electronic mail is received.

8. Pricing. The fact that a better price could have been obtained by a
sale at a different time or in a different method from that selected by
the owner is not of itself sufficient to establish that the sale was not
made in a commercially reasonable manner. If the owner either sells the
goods in the usual manner in any recognized market therefor, or if he
sells at the price current in such market at the time of his sale, or if
he has otherwise sold in conformity with commercially reasonable
practices among dealers in the type of goods sold, he has sold in a
commercially reasonable manner. A sale of more goods than apparently
necessary to be offered to insure satisfaction of the obligation is not
commercially reasonable except in cases covered by the preceding
sentence.

9. Special proceeding. The special proceeding may be brought in any
court which would have jurisdiction to render a judgment for a sum equal
to the amount of the lien. If the person shall show that the owner is
not entitled to claim a lien in the goods, or that all or part of the
amount claimed by the owner has not been properly charged to the account
of such person, or, as the case may be, that all or part of such amount
exceeds the fair and reasonable value of the services performed by the
owner, the court shall direct the entry of judgment cancelling the lien
or reducing the amount claimed thereunder accordingly. If the owner
shall establish the validity of the lien, in whole or in part, the
judgment shall fix the amount thereof, and shall provide that the sale
may proceed upon the expiration of five days after service of a copy of
the judgment together with notice of entry thereof upon the person,
unless the goods are redeemed prior thereto. If the lien is cancelled,
the judgment shall provide that, upon service of a copy of the judgment
together with notice of entry thereof upon the owner, the person shall
be entitled to possession of the property.