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This entry was published on 2014-12-26
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SECTION 7-307
Lien of Carrier
Uniform Commercial Code (UCC) CHAPTER 38, ARTICLE 7, PART 3
Section 7--307. Lien of Carrier.

(a) A carrier has a lien on the goods covered by a bill of lading or
on the proceeds thereof in its possession for charges after the date of
the carrier's receipt of the goods for storage or transportation,
including demurrage and terminal charges, and for expenses necessary for
preservation of the goods incident to their transportation or reasonably
incurred in their sale pursuant to law. However, against a purchaser for
value of a negotiable bill of lading, a carrier's lien is limited to
charges stated in the bill or the applicable tariffs or, if no charges
are stated, a reasonable charge.

(b) A lien for charges and expenses under subsection (a) on goods that
the carrier was required by law to receive for transportation is
effective against the consignor or any person entitled to the goods
unless the carrier had notice that the consignor lacked authority to
subject the goods to those charges and expenses. Any other lien under
subsection (a) is effective against the consignor and any person that
permitted the bailor to have control or possession of the goods unless
the carrier had notice that the bailor lacked authority.

(c) A carrier loses its lien on any goods that it voluntarily delivers
or unjustifiably refuses to deliver.