SELF STORAGE AND VESSEL
LIEN Law OF
Maine

Maine

Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE

Chapter 212: SELF-SERVICE STORAGE ACT (HEADING: PL 1989, c. 62 (new))
§1371. Short title
This Act shall be known and may be cited as the "Maine Self-service Storage Act." [1989, c. 62 (new).]
§1372. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [1989, c. 62 (new).]
1. Default. "Default" means the failure to perform on time any obligation or duty set forth in the rental agreement. [1989, c. 62 (new).]
2. Last known address. "Last known address" means that address provided by the occupant in the rental agreement or the address provided by the occupant in a subsequent written notice of a change of address. [1989, c. 62 (new).]
2-A. Late fee. "Late fee" means any fee or charge assessed for an occupant's failure to pay rent when due. "Late fee" does not include interest on a debt, reasonable expenses incurred in the collection of unpaid rent or costs associated with the enforcement of any other remedy provided by statute or contract. [2003, c. 274, §1 (new).]
3. Leased space. "Leased space" means the individual storage space at the self-service facility which is rented to an occupant under a rental agreement. [1989, c. 62 (new).]
4. Occupant. "Occupant" means a person, a sublessee, successor or assignee, entitled to the use of a leased space at a self-service storage facility under a rental agreement. [1989, c. 62 (new).]
5. Operator. "Operator" means the owner, operator, lessor or sublessor of a self-service storage facility, an agent or any other person authorized to manage the facility. Operator does not mean a warehouseman, unless the operator issues a warehouse receipt, bill of lading or other document of title for the personal property stored. [1989, c. 62 (new).]
6. Personal property. "Personal property" means movable property, not affixed to land. Personal property includes, but is not limited to, goods, wares, merchandise, motor vehicles, watercraft and household items and furnishings. [1989, c. 62 (new).]
7. Rental agreement. "Rental agreement" means any written agreement that establishes or modifies the terms, conditions or rules concerning the use and occupancy of a self-service storage facility. [1989, c. 62 (new).]
8. Self-service storage facility. "Self-service storage facility" means any real property used for renting or leasing individual storage spaces under a written rental agreement in which the occupants themselves customarily store and remove their own personal property on a self-service basis. [1989, c. 62 (new).]
§1373. Restrictions of use
1. Operator not to permit use for residential purposes. An operator may not knowingly permit a leased space at a self-service storage facility to be used for residential purposes. [1989, c. 62 (new).]
2. Occupant not to use for residential purposes. An occupant may not use a leased space for residential purposes. [1989, c. 62 (new).]
3. Occupant not to store certain goods. An occupant is prohibited from storing goods that have a dangerous, harmful, offensive or noxious impact on the self-service storage facility or its surroundings or are a nuisance to self-service storage facility occupants, the operator or operator's employees. [1989, c. 62 (new).]
A. If the operator has reason to believe that an occupant is storing goods that have resulted in a condition described in this subsection, the operator may remove and dispose of the goods thus causing that condition.
[1989, c. 62 (new).]
B. Before disposing of goods under this subsection, the operator shall:
(1) Notify the occupant of the condition by regular mail at the occupant's last known address or other address set forth by the occupant in the rental agreement;
(2) Inspect the leased space at least 7 days following the notice to the occupant; and
(3) Determine whether a condition described in this subsection exists.
[1989, c. 62 (new).]
C. Notwithstanding paragraph B, an operator may immediately dispose of goods under this section if they constitute a threat to health, safety or welfare. The operator shall immediately notify the occupant of this action following the procedures of paragraph B, subparagraph (1).
[1989, c. 62 (new).]
§1374. Lien
1. Lien created. The operator of a self-service storage facility has a lien on all personal property stored within each leased space for rent, labor or other charges, and for expenses reasonably incurred in its sale, as provided in this Act. [1989, c. 62 (new).]
2. Statement in rental agreement. The rental agreement must contain a statement, in bold type, advising the occupant: [1989, c. 62 (new).]
A. Of the existence of the lien;
[1989, c. 62 (new).]
B. That property stored in the leased space may be sold to satisfy the lien if the occupant is in default; and
[1989, c. 62 (new).]
C. That a sale shall be held at the self-service storage facility where the personal property is stored or at the nearest suitable location.
[1989, c. 62 (new).]
§1375. Enforcement of lien
1. Sale; use of proceeds. If the occupant is in default for a period of more than 45 days, the operator may enforce a lien by selling the property stored in the leased space at a public or private sale for cash. Proceeds shall then be applied to satisfy the lien, with any surplus disbursed as provided in subsection 5. [1989, c. 62 (new).]
2. Notice; advertisement. As soon as the occupant is in default and before conducting a sale under subsection 1, the operator shall: [1989, c. 62 (new).]
A. Send a notice of default by regular mail and by certified mail to the occupant at the occupant's last known address or other address set forth by the occupant in the rental agreement which includes:
(1) A statement that the contents of the occupant's leased space are subject to the operator's lien;
(2) A statement of the operator's claim, indicating the charges due on the date of the notice, the amount of any additional charges which shall become due before the date of sale and the date those additional charges shall become due;
(3) A demand for payment of the charges due within a specified time, not less than 14 days after the date of the notice;
(4) A statement that unless the claim is paid within the time stated, the contents of the occupant's space will be sold, specifying the time and place; and
(5) The name, street address and telephone number of the operator, or the operator's designated agent, whom the occupant may contact to respond to the notice; and
[1989, c. 62 (new).]
B. Publish an advertisement of the sale once a week for 2 consecutive weeks in a newspaper of general circulation in the city or town where the sale is to be held. The advertisement must include a general description of the property as set forth in the rental agreement, the name of the person on whose account it is being held and the time and place of the sale. The sale must take place at least 15 days after the first publication.
[1989, c. 62 (new).]
3. Redemption of property. At any time before a sale under this section, the occupant may pay the amount necessary to satisfy the lien and redeem the occupant's personal property. [1989, c. 62 (new).]
4. Location of sale. A sale under this section shall be held at the self-service storage facility or at the nearest suitable place to where the personal property is stored. [1989, c. 62 (new).]
5. Distribution of proceeds. If a sale is held under this section, the operator shall: [1989, c. 62 (new).]
A. Satisfy the lien from the proceeds of the sale; and
[1989, c. 62 (new).]
B. Hold the balance, if any, for delivery on demand to the occupant or any other recorded lienholders.
[1989, c. 62 (new).]
6. Insufficent process. If proceeds of the sale are not sufficient to satisfy the occupant's outstanding obligations to the operator, the occupant shall remain liable to the operator for such deficiency. [1989, c. 62 (new).]
7. Purchasers. A purchaser in good faith of any personal property sold under this Act takes the property free and clear of any rights of: [1989, c. 62 (new).]
A. Persons against whom the lien was valid; and
[1989, c. 62 (new).]
B. Other lienholders.
[1989, c. 62 (new).]
8. Operator liability. If the operator complies with the provisions of this Act, the operator's liability: [1989, c. 62 (new).]
A. To the occupant shall be limited to the net proceeds received from the sale of the personal property; and
[1989, c. 62 (new).]
B. To other lienholders shall be limited to the net proceeds received from the sale of any personal property covered by that other lien.
[1989, c. 62 (new).]
9. Denying occupant access to leased space. If an occupant is in default, the operator, by making provision in the written rental agreement, may deny the occupant access to the leased space, provided that the occupant may arrange to have access solely to view and verify the contents of the leased space. Such access must be arranged with the facility office during normal business hours. [1989, c. 62 (new).]
10. Notices; certified or registered mail. Unless otherwise specifically provided, all notices required by this Act shall be sent by certified or registered mail. [1989, c. 62 (new).]
A. Notices sent to the operator shall be sent to the self-service storage facility where the occupant's property is stored. Notices to the occupant shall be sent to the occupant at the occupant's last known address. Notices shall be deemed delivered when deposited with the United States Postal Service, properly addressed as provided in subsection 2, with postage paid.
[1989, c. 62 (new).]
11. Control of property in leased space. Unless the rental agreement of this Act specifically provides otherwise, until a lien sale under this Act, the exclusive care, custody and control of all personal property stored in the leased self-service storage space remains vested in the occupant. [1989, c. 62 (new).]
12. Savings clause. All rental agreements, entered into before the effective date of this Act which have not been extended or renewed after that date, shall remain valid and may be enforced or terminated in accordance with their terms or as permitted by any other law of this State. [1989, c. 62 (new).]
§1376. Late fees
1. Imposition of late fee. An operator may impose a reasonable late fee in accordance with this section for each service period that an occupant does not pay rent when due, as long as the due date for the rental payment is not earlier than the day before the first day of the service period to which the rental payment applies. A late fee may not be imposed if the occupant makes a rental payment in full by the 3rd day after the due date. [2003, c. 274, §2 (new).]
2. Conditions in writing. An operator may not impose a late fee unless the amount of that fee and the conditions for imposing that fee are stated in 12-point type in a written rental agreement or an addendum to that agreement. [2003, c. 274, §2 (new).]
3. Permissible late fees. A late fee of $20 for each late rental payment or 20% of the amount of each rental payment, whichever is greater, is reasonable and does not constitute a penalty. [2003, c. 274, §2 (new).]
4. Recovery of reasonable expenses. An operator may recover from the occupant any reasonable expense incurred in rent collection or lien enforcement in addition to the late fee permitted by subsection 1. [2003, c. 274, §2 (new).]

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Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 212-A: MAINE MARINA AND BOATYARD STORAGE ACT (HEADING: PL 1993, c. 263, @1 (new))
§1381. Short title
This Act may be known and cited as the "Maine Marina and Boatyard Storage Act." [1993, c. 263, §1 (new).]

§1382. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [1993, c. 263, §1 (new).]
1. Default. "Default" means the failure to pay obligations incurred by the storage of a boat, boat motor or boat trailer. [1993, c. 263, §1 (new).]
2. Facility. "Facility" means a marina, boatyard or marine repair facility that provides, as part of its commercial operation, the storage of boats, boat motors or boat trailers. [1993, c. 263, §1 (new).]
3. Lienholder. "Lienholder" or "lienholder of record" means a person who claims an interest in or lien on the property pursuant to a financing statement filed with the Secretary of State or other public filing. [1993, c. 263, §1 (new).]
4. Property. "Property" means a boat, boat motor or boat trailer in storage at a facility. [1993, c. 263, §1 (new).]

§1383. Lien

1. Lien created. A facility owner has a lien on property stored at that facility for rent, labor or other charges and for expenses reasonably incurred in the sale of that property under the provisions of this chapter. [1993, c. 263, §1 (new).]
2. Exclusion. This chapter does not create a lien on a documented vessel subject to a preferred ship mortgage or other preferred maritime lien pursuant to 46 United States Code, Chapter 131. [1993, c. 263, §1 (new).]

§1384. Notice of lien
A property owner must be notified of the lien created by this chapter before enforcement of the lien by a facility owner. Notification of the lien created by this chapter is satisfied by: [1993, c. 263, §1 (new).]
1. Written storage agreement. A written storage agreement signed by the property owner that includes a notice of the lien created by this chapter; or [1993, c. 263, §1 (new).]
2. Written notice of lien. Written notification of the lien sent by the facility owner to the property owner. [1993, c. 263, §1 (new).]
A facility owner who does not have a written storage agreement that includes a notice of the lien created by this chapter may not initiate an enforcement action under section 1385 until 30 days after the written notice of a lien required by subsection 2 is delivered to the property owner. [1993, c. 263, §1 (new).]

§1385. Enforcement of lien
A facility owner may enforce a lien created by this chapter only if the property owner has been notified of the lien as required by section 1384. [1993, c. 263, §1 (new).]
1. Sale; use of proceeds. If a property owner is in default for a period of more than 90 days, a facility owner may enforce a lien by selling the stored property at a commercially reasonable public sale for cash. As used in this section, "commercially reasonable" has the same meaning as in the Uniform Commercial Code. The proceeds of the sale must be applied in the following order:
A. To the reasonable expenses of the sale incurred by the facility owner including, to the extent not prohibited by law, reasonable attorney's fees and legal expenses; [1993, c. 263, §1 (new).]
B. To the satisfaction of the lien created by this chapter; [1993, c. 263, §1 (new).]
C. To the satisfaction of all other liens on the property held by all lienholders of record to be paid in the order of priority; and [1993, c. 263, §1 (new).]
D. To the extent that the proceeds of sale exceed the sum of the foregoing, the surplus must be paid by the facility owner to the property owner. [1993, c. 263, §1 (new).]
If proceeds of the sale are not sufficient to satisfy the property owner's outstanding obligations to the facility owner or any lienholder of record, the property owner remains liable to the facility owner or lienholder for the deficiency.
[1993, c. 263, §1 (new).]
2. Advertisement; notice of default. Before conducting a sale under this section, the facility owner shall:
A. Send a notice of default to the property owner. The facility owner shall provide a copy of the notice to each lienholder of record. The notice must include:
(1) A statement that the property is subject to a lien held by the facility owner;
(2) A statement of the facility owner's claim indicating the charges due on the date of the notice, the amount of any additional charges that will become due before the date of sale and the date those additional charges will become due;
(3) A demand for payment of the charges due within a specified time not less than 30 days after the date the notice is delivered to the property owner and all lienholders of record;
(4) A statement that unless the claim is paid within the time stated the property will be sold, specifying the time and place of the sale; and
(5) The name, street address and telephone number of the facility owner, or the facility owner's designated agent, whom the property owner may contact to respond to the notice; and [1993, c. 263, §1 (new).]
B. After the expiration of the 30-day period set forth in paragraph A, publish an advertisement of the sale once a week for 2 consecutive weeks in a newspaper of general circulation in the area where the sale is to be held. The advertisement must include a general description of the property, the name of the property owner and the time and place of the sale. The date of the sale must be more than 15 days after the date the first advertisement of the sale is published.
[1993, c. 263, §1 (new).]
3. Location of sale. A sale under this chapter must be held at the facility or at the nearest suitable location. [1993, c. 263, §1 (new).]
4. Purchasers. A purchaser of property sold at a commercially reasonable sale pursuant to this chapter takes the property free and clear of any rights of persons against whom the lien was valid and all other lienholders of record. [1993, c. 263, §1 (new).]
5. Facility owner liability. If the facility owner complies with the provisions of this chapter, the facility owner's liability is as follows.
A. To a lienholder of record, the facility owner's liability is limited to payment from the net proceeds received from the sale of the property. [1993, c. 263, §1 (new).]
B. To the property owner, the facility owner's liability is limited to the net proceeds received from the sale of the property after payment in full of all lienholders of record. [1993, c. 263, §1 (new).] [1993, c. 263, §1 (new).]
6. Denying access to storage facility. A facility owner may deny a property owner who has been notified under subsection 2 access to the storage facility, except that the property owner is entitled to access to the facility during normal business hours for the purpose of satisfying the lien or viewing and verifying the condition of the property. [1993, c. 263, §1 (new).]
7. Notices. Except as otherwise provided, all notices required by this chapter must be sent by registered or certified mail, return receipt requested. Notices sent to a facility owner must be sent to the owner's business address or to the address of the owner's designated representative. Notices to a property owner must be sent to the property owner at the property owner's last known address. Notices to a lienholder of record must be sent to the address of the lienholder as provided in the public filings that serve to perfect the lienholder's interest in the property. Notices are considered delivered on the date the recipient of the notice signs the return receipt or, if the notice is undeliverable, the date the post office last attempts to deliver the notice. [1993, c. 263, §1 (new).]

§1386. Cessation of enforcement actions
A facility owner shall cease enforcement actions immediately if: [1993, c. 263, §1 (new).]
1. Payment by owner. The property owner pays the facility owner the full amount necessary to satisfy the lien. At any time before the conclusion of a sale conducted under this chapter, the property owner may redeem the property by paying the full amount necessary to satisfy the lien; or
[1993, c. 263, §1 (new).]
2. Payment by other lienholders. A person other than the facility owner who has a lien on the property pays the facility owner the full amount necessary to satisfy the lien held by the facility owner. Upon payment by a lienholder of record, the facility owner shall hold the property for the benefit of and at the direction of that lienholder and may not deliver possession of the property to the property owner. Unless the facility owner and the lienholder enter into a new storage agreement, the lienholder shall arrange removal of the property from the facility. [1993, c. 263, §1 (new).]