§ 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 section 2—403, subsection 2A—304(2) or 2A—305(2), section
9—320, or subsection 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.)