35-36 Portable Storage Unit Property Lien
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<![CDATA[CHAPTER 35-36PORTABLE STORAGE UNIT PROPERTY LIEN35-36-01. Definitions. As used in this chapter, unless the context otherwise requires:1."Default" means failure of the lessee to pay the rent and other charges at the time<br>and in the manner set forth in the rental agreement.2."Last-known address" means the address provided by the lessee in the latest rental<br>agreement or the address provided by the lessee in a subsequent written change of<br>address notice.3."Lessee" means a person who leases a portable storage unit, regardless of the unit's<br>location, under a rental agreement. The term includes a sublessee, successor, and<br>assignee.4."Owner" means a person who owns, leases, subleases, manages, or operates a<br>portable storage unit and receives rent from a lessee under a rental agreement.5."Personal property" means movable property not affixed to land, including<br>merchandise and household goods.6."Portable storage unit" includes a portable container, overseas shipping container, or<br>semitrailer which may be moved by the owner to a location designated by the lessee<br>or moved by the lessee to one of several locations, in accordance with the rental<br>agreement, and in which the lessee customarily stores and removes personal<br>property.7."Rental agreement" means a written agreement between the owner and the lessee<br>which establishes or modifies the terms and conditions of the lessee's use of the<br>portable storage unit.35-36-02. Lien against property. The owner of a portable storage unit has a lien on allpersonal property stored under a rental agreement in a portable storage unit for rent, labor, and<br>other charges, and for expenses reasonably incurred in the sale or other disposition of the<br>property under law. This lien is superior to other security interests except those perfected before<br>the date the lien attaches. The lien attaches upon default by the occupant as stated in the notice<br>of default served on the occupant as provided in this chapter.35-36-03. Custody and control of property. Unless the rental agreement providesotherwise, until a sale under this chapter, the lessee is responsible for the care, custody, and<br>control of all property stored in the portable storage unit unless the owner secures the property<br>elsewhere during the sale proceedings.35-36-04. Notice of proceedings.1.Before conducting a sale, the owner shall deliver in person or send by certified mail<br>a notice of default to prior lienholders and to the lessee at the lessee's last-known<br>address. A notice under this section is presumed delivered if the notice is deposited<br>with the United States postal service and properly addressed with postage prepaid.<br>The notice must include:a.A statement that the contents of the portable storage unit are subject to the<br>owner's lien and that the lessee is denied access to the portable storage unit<br>until the owner's claim is satisfied;b.The name of the lessee and the address at which the portable storage unit is<br>located;Page No. 1c.A statement of the charges due, the date of default, and a demand for payment<br>of the charges due within a specified time, which may not be fewer than ten<br>days after the date of the notice;d.A statement in bold type providing that, unless the claim is paid within the time<br>stated, the contents of the portable storage unit will be sold; ande.The name, address, and telephone number of the owner or other person that<br>the lessee may contact in response to the notice.2.In addition to the requirements of subsection 1, an owner shall also publish, once a<br>week for two consecutive weeks, with the first publication not more than thirty days<br>before the sale and the last publication at least seven days before the sale, the time,<br>place, and terms of the sale in a newspaper of general circulation in the county<br>where the portable storage unit is located.35-36-05. Sale of property - Application of proceeds. At any time before the sale, thelessee may pay the amount necessary to satisfy the lien and redeem the lessee's property. If a<br>sale is held, the owner shall satisfy the lien from the proceeds of the sale and hold the balance, if<br>any, for delivery on demand to the lessee or any other recorded lienholder for a period of six<br>months from the date of sale. Any amount not claimed by the lessee from the owner within the<br>six-month period is subject to the reporting requirements of section 47-30.1-08.35-36-06. Protection of purchaser in good faith. A purchaser in good faith of anyproperty sold under this chapter takes the property clear of any rights of persons against whom<br>the lien was valid, subject to the rights of prior lienholders.35-36-07.Liability of owner.If the owner complies with this chapter, the owner'sliability to the lessee is limited to the application of the proceeds received from the sale of the<br>property necessary to satisfy the lien. The owner's liability to other lienholders is limited to the<br>proceeds received from the sale of any property covered by the other lien, less the amount<br>necessary to satisfy the owner's lien.35-36-08. Validity of certain rental agreements. Any rental agreement entered beforeAugust 1, 2009, remains valid and may be enforced or terminated in accordance with its terms or<br>as permitted by law.35-36-09. Sale proceedings - Titled vehicles. The sale proceedings in this chapter aresufficient to provide the instruments or documents of authority to obtain a transfer of title to<br>vehicles under section 39-05-19. However, the rights of a prior listed lienholder are not affected<br>by this transfer and the department may not remove a prior lienholder in this transfer of title<br>without a release from the lienholder.Page No. 2Document Outlinechapter 35-36 portable storage unit property lien]]>