ENROLLED HB 1453, Engrossed 1 2003 Legislature
   
1 A bill to be entitled
2          An act relating to vessels; amending s. 328.17, F.S.;
3    revising language with respect to the nonjudicial sale of
4    vessels; providing an effective date.
5         
6          Be It Enacted by the Legislature of the State of Florida:
7         
8          Section 1. Section 328.17, Florida Statutes, is amended to
9    read:
10          (Substantial rewording of section. See s. 328.17, F.S.,
11    for present text.)
12          328.17 Nonjudicial sale of vessels.--
13          (1) It is the intent of the Legislature that any
14    nonjudicial sale of any vessel held for unpaid costs, storage
15    charges, or dockage fees, or any vessel held for failure to pay
16    removal costs pursuant to s. 327.53(7), be disposed of pursuant
17    to the provisions of this section.
18          (2) The Department of Highway Safety and Motor Vehicles
19    shall provide certification forms for the nonjudicial sale of
20    vessels as authorized by this section.
21          (3) For purposes of this section, “owner” shall mean the
22    person holding title to the vessel, or any person the marina
23    reasonably believes to be authorized to act for the vessel.
24          (4) A marina, as defined in s. 327.02(19), shall have a
25    possessory lien upon any vessel for storage fees, dockage fees,
26    repairs, improvements, or other work-related storage charges,
27    and for expenses necessary for preservation of the vessel or
28    expenses reasonably incurred in the sale or other disposition of
29    the vessel. The possessory lien shall attach as of the date the
30    vessel is brought to the marina, or as of the date the vessel
31    first occupies rental space at the marina facility. However, in
32    the event of default, the marina must give notice to persons who
33    hold perfected security interests against the vessel under the
34    Uniform Commercial Code in which the owner is named as the
35    debtor.
36          (5) A marina’s possessory lien may be satisfied as
37    follows:
38          (a) The marina shall provide written notice to the
39    vessel’s owner, delivered in person or by certified mail to the
40    owner’s last known address and conspicuously posted at the
41    marina and on the vessel. In addition, the marina shall provide
42    written notice to each recorded lienholder of such vessel
43    registered with this state as shown by the records of the
44    Department of Highway Safety and Motor Vehicles, at least 30
45    days prior to the proposed sale.
46          (b) The notice shall include:
47          1. An itemized statement of the marina’s claim, showing
48    the sum due at the time of the notice and the date upon which
49    the sum became due.
50          2. A description of the vessel.
51          3. A demand for payment.
52          4. A conspicuous statement that, unless the claim is paid
53    within the time stated in the notice, the vessel will be
54    advertised for sale or other disposition and will be sold or
55    otherwise disposed of at a specified time and place.
56          5. The name, street address, and telephone number of the
57    marina that the owner may contact to respond to the notice.
58          (6) Any notice given pursuant to this section shall be
59    presumed delivered when it is deposited with the United States
60    Postal Service, certified, and properly addressed with postage
61    prepaid.
62          (7) If the fees and costs that give rise to such a lien
63    are due and unpaid 120 days after the vessel owner is given
64    written notice, the marina may sell the vessel, including its
65    machinery, rigging, and accessories as provided for in
66    subsection (8).
67          (8) The marina shall first publish an advertisement of the
68    sale or other disposition once a week for 2 consecutive weeks in
69    a newspaper of general circulation in the area in which the
70    marina is located. Inasmuch as any sale may involve more than
71    one vessel, a single advertisement may be used to dispose of
72    more than one vessel at any one sale.
73          (a) The advertisement shall include:
74          1. A brief and general description of the vessel.
75          2. The address of the marina facility or the address where
76    the marina is located and the name of the owner of the vessel.
77          3. The time, place, and manner of the sale or other
78    disposition. The sale or other disposition shall take place no
79    sooner than 15 days after the first publication.
80          (b) If there is no newspaper of general circulation in the
81    area in which the marina is located, the advertisement shall be
82    posted at least 10 days before the date of the sale or other
83    disposition in no fewer than three conspicuous places in the
84    neighborhood in which the marina is located.
85          (9) Any sale or other disposition of the vessel shall
86    conform to the terms of the notification as provided for in this
87    section and shall be conducted in a commercially reasonable
88    manner, as that term is used in s. 679.610.
89          (10) Before any sale or other disposition of the vessel
90    pursuant to this section, the owner may pay the amount necessary
91    to satisfy the lien and the reasonable expenses incurred under
92    this section and thereby redeem the vessel. Upon receipt of such
93    payment, the marina shall return the property to the owner and
94    thereafter shall have no liability to any person with respect to
95    such vessel.
96          (11) Unless otherwise provided by law, a purchaser in good
97    faith of a vessel sold to satisfy a lien provided for in this
98    section takes the property free of any claims other than a prior
99    lien perfected under the Uniform Commercial Code, despite
100    noncompliance by the marina with the requirements of this
101    section.
102          (12) In the event of a sale under this section, the marina
103    may satisfy its lien from the proceeds of the sale, provided the
104    marina’s lien has priority over all other liens on the vessel
105    other than a prior lien perfected under the Uniform Commercial
106    Code. The lien rights of secured lienholders are automatically
107    transferred to the remaining proceeds of the sale. The balance,
108    if any, shall be held by the marina for delivery on demand to
109    the owner. A notice of any balance shall be delivered by the
110    marina to the owner in person or by certified mail to the last
111    known address of the owner. If the owner does not claim the
112    balance of the proceeds within 1 year after the date of sale,
113    the proceeds shall be deemed abandoned, and the marina shall
114    have no further obligation with regard to the payment of the
115    balance. In the event that the marina’s lien does not have
116    priority over all other liens, the sale proceeds shall be held
117    for the benefit of the holders of those liens having priority. A
118    notice of the amount of the sale proceeds shall be delivered by
119    the marina to the owner or secured lienholder in person or by
120    certified mail to the owner’s or the secured lienholder’s last
121    known address. If the owner or the secured lienholder does not
122    claim the sale proceeds within 1 year after the date of sale,
123    the proceeds shall be deemed abandoned, and the owner or the
124    secured lienholder shall have no further obligation with regard
125    to the payment of the proceeds.
126          (13) In making application for transfer of title of a
127    vessel sold pursuant to this section, the new owner shall
128    establish proof of ownership by submitting with the application,
129    which includes the applicable fees and the original bill of sale
130    executed by the marina, a copy of each registered or certified
131    letter sent by the marina to the previous owner and lienholder
132    and a certified copy of the public notice of intent to sell
133    published in a newspaper of general circulation in the county in
134    which the marina is located. At the time the purchase price is
135    paid, the marina shall provide the documentation required by
136    this subsection to the purchaser.
137          Section 2. This act shall take effect upon becoming a law.