400.7-403. Obligation of warehouseman or carrier to deliver--excuse.
Obligation of warehouseman or carrier to deliver--excuse.
400.7-403. (1) The bailee must deliver the goods to aperson entitled under the document who complies with subsections(2) and (3), unless and to the extent that the bailee establishesany of the following:
(a) delivery of the goods to a person whose receipt wasrightful as against the claimant;
(b) damage to or delay, loss or destruction of the goods forwhich the bailee is not liable;
(c) previous sale or other disposition of the goods inlawful enforcement of a lien or on warehouseman's lawfultermination of storage;
(d) the exercise by a seller of his right to stop deliverypursuant to the provisions of the article on sales (section400.2-705);
(e) a diversion, reconsignment or other disposition pursuantto the provisions of this article (section 400.7-303) or tariffregulating such right;
(f) release, satisfaction or any other fact affording apersonal defense against the claimant;
(g) any other lawful excuse.
(2) A person claiming goods covered by a document of titlemust satisfy the bailee's lien where the bailee so requests orwhere the bailee is prohibited by law from delivering the goodsuntil the charges are paid.
(3) Unless the person claiming is one against whom thedocument confers no right under section 400.7-503(1), he mustsurrender for cancellation or notation of partial deliveries anyoutstanding negotiable document covering the goods, and thebailee must cancel the document or conspicuously note the partialdelivery thereon or be liable to any person to whom the documentis duly negotiated.
(4) "Person entitled under the document" means holder in thecase of a negotiable document, or the person to whom delivery isto be made by the terms of or pursuant to written instructionsunder a nonnegotiable document.
(L. 1963 p. 503 § 7-403)