CODING: Words stricken are deletions; words underlined are additions.


H

Senator Latvala moved the following amendment:



                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    

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11  Senator Latvala moved the following amendment:

12

13         Senate Amendment (with title amendment) 

14         Delete everything after the enacting clause

15

16  and insert:

17         Section 1.  Acquisition of title to unclaimed molds.--

18         (1)  DEFINITIONS.--As used in this section, the term:

19         (a)  "Customer" means any person who causes a molder to

20  fabricate, cast, or otherwise make a mold, or who provides a

21  molder with a mold with which to manufacture, assemble, cast,

22  fabricate, or otherwise make a product for a customer.

23         (b)  "Mold" means a die, mold, form, or pattern, but

24  does not include computer software used to control or direct

25  automatic machines in a manufacturing process, and does not

26  include impressions, molds, models, or study casts used by a

27  dentist, orthotist, or prosthetist within the scope of his or

28  her practice.

29         (c)  "Molder" means any person who fabricates, casts,

30  or otherwise makes or uses a mold for the purpose of

31  manufacturing, assembling, casting, fabricating, or otherwise

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  making a product for a customer. The term includes a tool or

 2  die maker.

 3         (d)  "Records" means documents created or held by a

 4  molder in its regular course of business.

 5         (e)  "Unclaimed mold" means a mold which is in the

 6  custody of a molder, title to which remains in the customer

 7  who ordered or provided the mold, and which has not been used

 8  to make a product for at least 3 years.

 9         (2)  OBLIGATIONS OF MOLDERS TO CUSTOMERS.--

10         (a)  For molds placed in the custody of a molder on or

11  after July 1, 1998, the molder shall:

12         1.  Make and retain a written record containing, at a

13  minimum, the customer's name, address, and telephone number, a

14  description of the mold in sufficient detail for clear

15  identification, the beginning date of the use of the mold, the

16  last date on which a purchase order was received for the use

17  of the mold, and the date on which the manufacture of the

18  products for the purchase order was completed.

19         2.  Inform the customer of the existence of the

20  provisions of this section and provide the customer with a

21  copy of the provisions of this section upon the customer's

22  request.

23         3.  Provide the customer with the following warning in

24  conspicuous type and in substantially the following form:

25

26  WARNING: YOUR FAILURE TO MAKE TIMELY ARRANGEMENTS FOR THE

27  DISPOSITION OF A MOLD UPON COMPLETION OF ITS USE BY THE MOLDER

28  WILL RESULT IN A TRANSFER OF YOUR RIGHTS IN THAT MOLD TO THE

29  MOLDER AS PROVIDED BY LAW.

30         (b)  Regardless of the date of placing the mold in the

31  custody of the molder, the molder shall:

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1         1.  Update its records if a customer informs the molder

 2  of a change of address or if the molder receives a new

 3  purchase order from the customer for additional use of the

 4  mold.

 5         2.  Inform the customer of the existence of the

 6  provisions of this section when renewing or updating the

 7  records relating to use of a mold ordered or provided by that

 8  customer and provide the customer with a copy of the

 9  provisions of this section upon the customer's request.

10         3.  Provide the customer with the following warning in

11  conspicuous type and in substantially the following form:

12

13  WARNING: YOUR FAILURE TO MAKE TIMELY ARRANGEMENTS FOR THE

14  DISPOSITION OF A MOLD UPON COMPLETION OF ITS USE BY THE MOLDER

15  WILL RESULT IN A TRANSFER OF YOUR RIGHTS IN THAT MOLD TO THE

16  MOLDER AS PROVIDED BY LAW.

17         (3)  CUSTOMER'S NOTICE.--It is the responsibility of a

18  customer as the owner of a mold in the custody of a molder to

19  notify the molder promptly in writing of any change in the

20  customer's address. Failure to notify the molder of this

21  change may result in the customer's loss of rights to the

22  property.

23         (4)  ACQUISITION OF TITLE TO UNCLAIMED MOLDS.--

24         (a)  To acquire title to an unclaimed mold, a molder

25  must first give notice, to the customer who owns the mold and

26  to any holder of a security interest in the mold which was

27  perfected in this state, of the molder's intent to acquire the

28  title to the mold. The molder must make a good-faith and

29  reasonable search for the identity and last known address of

30  the customer from the molder's records and other records

31  reasonably available to the molder's staff.  If the molder is

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  able to identify the customer and the customer's last known

 2  address, the molder shall give notice to the customer pursuant

 3  to paragraph (b).  If the identity or last known address of

 4  the customer remains unknown after a good-faith and reasonable

 5  search, the molder shall give notice by publication pursuant

 6  to paragraph (c). Notice to a holder of a perfected security

 7  interest in the mold must be given pursuant to paragraph (d).

 8         (b)  If the molder is able to identify the customer and

 9  the customer's last known address, the molder shall provide

10  notice of intent to acquire title to an unclaimed mold by

11  sending a notice by certified mail, return receipt requested,

12  to the customer at the customer's last known address. The

13  notice shall include the date of mailing the notice, the name

14  of the customer, a description of the mold in sufficient

15  detail for clear identification, the beginning date of the use

16  of the mold, the last date on which a purchase order was

17  received for the use of the mold, the date on which the

18  manufacture of the products for the purchase order was

19  completed, the location of the mold, the name and address of

20  the appropriate molder official to be contacted regarding the

21  mold, and a statement that within 90 days after the date of

22  receipt of the notice of intent to acquire title, the customer

23  is required to remove the mold from the molder's premises or

24  contact the designated official to make contractual

25  arrangements for storage of the mold.

26         (c)  If the molder is unable to identify sufficient

27  information to send notice pursuant to paragraph (b), or if a

28  signed return receipt of a notice sent by certified mail

29  pursuant to paragraph (b) is not received by the molder within

30  30 days after the notice is mailed, the molder shall publish

31  the notice of intent to acquire title to the unclaimed mold at

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  least twice, 60 or more days apart, in a  publication of

 2  general circulation in the county in which the molder is

 3  located and the county of the customer's last known address,

 4  if known. The published notice shall contain all the

 5  information required in paragraph (b) which is available to

 6  the molder.

 7         (d)  The molder must make a search of Uniform

 8  Commercial Code lien filings with the Florida Department of

 9  State, Division of Corporations, and, if the molder is able to

10  identify a holder of a perfected security interest in the

11  mold, the molder shall provide notice of intent to acquire

12  title to the mold by sending a notice by certified mail,

13  return receipt requested, to the lienholder at the

14  lienholder's last address of record with the division. The

15  notice shall contain all the information required by paragraph

16  (b) which is available to the molder.

17         (5)  MOLDER GAINING TITLE TO PROPERTY;

18  CONDITIONS.--Beginning July 1, 1998, a molder acquires title

19  to an unclaimed mold under any of the following circumstances:

20         (a)  For an unclaimed mold for which a molder provides

21  notice to a customer in accordance with paragraph (4)(b) and

22  for which a signed receipt is received, if the customer or

23  anyone having a legal interest in the mold does not contact

24  the molder and either remove the mold from the molder's

25  premises or make contractual arrangements with the molder for

26  storage of the mold within 90 days after the date notice was

27  received.

28         (b)  For an unclaimed mold for which notice by

29  publication is made pursuant to paragraph (4)(c), if the

30  customer or anyone having a legal interest in the mold does

31  not contact the molder and either remove the mold from the

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  molder's premises or make contractual arrangements with the

 2  molder for storage of the mold within 90 days after the date

 3  of the second publication.

 4         (6)  CONTRACTUAL OBLIGATIONS.--Notwithstanding the

 5  provisions of this section, a molder and a customer may bind

 6  themselves to different provisions by written contract.

 7         (7)  EFFECT ON OTHER RIGHTS.--This section does not

 8  affect the rights of a holder of a perfected security interest

 9  in a mold or any right of the customer under federal patent or

10  copyright law or federal law relating to unfair competition.

11         (8)  TITLE OF PROPERTY ACQUIRED FROM A MOLDER.--A

12  molder who acquires title to a mold under this section passes

13  good title to another when transferring the mold with the

14  intent to pass title.

15         Section 2.  Section 713.596, Florida Statutes, is

16  created to read:

17         713.596  Molder's liens.--

18         (1)  DEFINITIONS.--As used in this section, the term:

19         (a)  "Customer" means any person who causes a molder to

20  fabricate, cast, or otherwise make a mold, or who provides a

21  molder with a mold with which to manufacture, assemble, cast,

22  fabricate, or otherwise make a product for a customer.

23         (b)  "Mold" means a die, mold, form, or pattern, but

24  does not include computer software used to control or direct

25  automatic machines in a manufacturing process, and does not

26  include impressions, molds, models, or study casts used by a

27  dentist, orthotist, or prosthetist within the scope of his or

28  her practice.

29         (c)  "Molder" means any person who fabricates, casts,

30  or otherwise makes or uses a mold for the purpose of

31  manufacturing, assembling, casting, fabricating, or otherwise

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  making a product for a customer. The term includes a tool or

 2  die maker.

 3         (2)  LIENS.--

 4         (a)  A molder that has not received payment from a

 5  customer in accordance with the terms of the contract between

 6  the two has a lien on a mold in the molder's possession which

 7  belongs to that customer. The lien is for the balance due the

 8  molder from the customer for any work that the molder has

 9  performed for the customer in manufacturing or fabricating

10  products for the customer using the mold and for the value of

11  all material related to such work. The molder may retain

12  possession of the mold until the debts are paid.

13         (b)  Before enforcing the lien, the molder must notify

14  the customer in writing of the claim of lien. The notice must

15  be either delivered personally or sent by certified mail,

16  return receipt requested, to the last known address of the

17  customer. The notice must state that the molder claims a lien

18  for the balance due for work that the molder has performed in

19  manufacturing or fabricating products for the customer using

20  the mold and for the value of related materials as is

21  specified in the notice. Additionally, the notice must include

22  a statement of the amount of the balance owed, a demand for

23  payment, and a statement of the location of the mold. Finally,

24  the notice must include the following warning in conspicuous

25  type and in substantially the following form:

26  WARNING: YOUR FAILURE TO PAY THE UNPAID BALANCE AS STATED

27  HEREIN WILL RESULT IN THE IMPOSITION OF A LIEN ON THE MOLD

28  DESCRIBED HEREIN AND IN THE SALE OF THAT MOLD AS PROVIDED BY

29  LAW.

30         (c)  If the customer does not pay the amount due as

31  stated in the notice within 60 days after the date of receipt

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  of the notice, the molder may sell the mold at a public

 2  auction. However, the mold may not be sold if there is a

 3  good-faith dispute or litigation between the molder and the

 4  customer concerning either the quality of the products made or

 5  fabricated by use of the mold or the amount due.

 6         (3)  SALE.--

 7         (a)  Before a molder may sell a mold, the molder must

 8  notify the customer and any holder of a security interest

 9  perfected in this state of the intended sale. The notice must

10  be by certified mail, return receipt requested, and must

11  include:

12         1.  Notice of the molder's intent to sell the mold 30

13  days after the customer's receipt of the notice.

14         2.  A description of the mold to be sold.

15         3.  The time and place of the sale.

16         4.  An itemized statement of the amount due.

17         (b)  If there is no return of the receipt of the

18  mailing or if the postal service returns the notice as being

19  nondeliverable, the molder must publish notice, at least 30

20  days before the date of sale in a newspaper of general

21  circulation in the county of the customer's last known place

22  of business, of the molder's intent to sell the mold. The

23  notice must include a description of the mold to be sold and

24  the time and place of the sale.2

25         (c)1.  The proceeds of the sale must be paid first to

26  any holder of a security interest perfected in this state. Any

27  excess must be paid to the molder holding the lien created by

28  this section. Any remaining amount is to be paid to the

29  customer, if the customer's address is known, or to the State

30  Treasurer for deposit in the General Revenue Fund if the

31  customer's address is unknown to the molder at the time of the

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                                                  SENATE AMENDMENT

    Bill No. HB 1403, 1st Eng.

    Amendment No.    





 1  sale.

 2         2.  A sale may not be made under this section if it

 3  would be in violation of any right of a customer under federal

 4  patent or copyright law.

 5         Section 3.  Section 1 of this act applies only to

 6  contracts entered into before January 1, 1999, and is repealed

 7  effective January 1, 2001.

 8         Section 4.  This act shall take effect July 1, 1998.

 9

10

11  ================ T I T L E   A M E N D M E N T ===============

12  And the title is amended as follows:

13         Delete everything before the enacting clause

14

15  and insert:

16                      A bill to be entitled

17         An act relating to molders; providing

18         definitions; providing obligations of molders

19         to customers; providing procedures and

20         conditions for acquisition of title to

21         unclaimed molds; creating s. 713.596, F.S.;

22         creating a molder's lien and specifying rights

23         of a molder; providing definitions; providing

24         procedures; providing for application and

25         repeal; providing an effective date.

26

27

28

29

30

31

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