§7-209. Lien of warehouse

Link to law: http://legislature.vermont.gov/statutes/section/09A/007/00209
Published: 2015

Print

The Vermont Statutes Online



Title

09A

:
Uniform Commercial Code






Chapter

007

:
Documents of Title











 

§

7-209. Lien of warehouse

(a) A warehouse

has a lien against the bailor on the goods covered by a warehouse receipt or

storage agreement or on the proceeds thereof in its possession for charges for

storage or transportation, including demurrage and terminal charges, insurance,

labor, or other charges, present or future, in relation to the goods, and for

expenses necessary for preservation of the goods or reasonably incurred in

their sale pursuant to law. If the person on whose account the goods are held

is liable for similar charges or expenses in relation to other goods whenever

deposited and it is stated in the warehouse receipt or storage agreement that a

lien is claimed for charges and expenses in relation to other goods, the

warehouse also has a lien against the goods covered by the warehouse receipt or

storage agreement or on the proceeds thereof in its possession for those

charges and expenses, whether or not the other goods have been delivered by the

warehouse. However, as against a person to which a negotiable warehouse receipt

is duly negotiated, a warehouse's lien is limited to charges in an amount or at

a rate specified in the warehouse receipt or, if no charges are so specified,

to a reasonable charge for storage of the specific goods covered by the receipt

subsequent to the date of the receipt.

(b) A warehouse

may also reserve a security interest against the bailor for the maximum amount

specified on the receipt for charges other than those specified in subsection

(a) of this section, such as for money advanced and interest. The security

interest is governed by article 9 of this title.

(c) A

warehouse's lien for charges and expenses under subsection (a) of this section

or a security interest under subsection (b) of this section is also effective

against any person that so entrusted the bailor with possession of the goods

that a pledge of them by the bailor to a good-faith purchaser for value would

have been valid. However, the lien or security interest is not effective

against a person that before issuance of a document of title had a legal

interest or a perfected security interest in the goods and that did not:

(1) deliver or

entrust the goods or any document of title covering the goods to the bailor or

the bailor's nominee with:

(A) actual or

apparent authority to ship, store, or sell;

(B) power to

obtain delivery under section 7-403 of this title; or

(C) power of

disposition under sections 2-403, 2A-304(2), 2A-305(2), 9-320, or 9-321(c) of

this title, or other statute or rule of law; or

(2) acquiesce in

the procurement by the bailor or its nominee of any document.

(d) A

warehouse's lien on household goods for charges and expenses in relation to the

goods under subsection (a) of this section is also effective against all

persons if the depositor was the legal possessor of the goods at the time of

deposit. In this subsection, "household goods" means furniture,

furnishings, or personal effects used by the depositor in a dwelling.

(e) A warehouse

loses its lien on any goods that it voluntarily delivers or unjustifiably

refuses to deliver. (Added 2015, No. 51, § B.3, eff. June 3, 2015.)
Read Entire Law on legislature.vermont.gov