Sec. 42a-7-209. Lien of warehouse.
Sec. 42a-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.
(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 42a-7-403; or (C) power of disposition
under section 42a-2-403, 42a-2A-404, 42a-2A-405 or 42a-9-320, subsection (c) of section 42a-9-321 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.
(1959, P.A. 133, S. 7-209; P.A. 04-64, S. 15.)
History: P.A. 04-64 amended section to adopt the 2003 Revision of Uniform Commercial Code Article 7-Documents
of Title.