1 | A bill to be entitled |
2 | An act relating to nonjudicial sale of vessels; amending |
3 | s. 328.17, F.S.; revising notice requirements of a marina |
4 | having a possessory lien on a vessel for unpaid costs, |
5 | charges, or fees prior to nonjudicial sale of the vessel; |
6 | reducing the time allowed to pay the fees, charges, and |
7 | costs giving rise to the lien prior to sale of the vessel; |
8 | revising requirements with respect to perfection of and |
9 | priority over prior or other liens; providing an effective |
10 | date. |
11 |
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12 | Be It Enacted by the Legislature of the State of Florida: |
13 |
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14 | Section 1. Subsections (4), (5), (7), (10), (11), and (12) |
15 | of section 328.17, Florida Statutes, are amended to read: |
16 | 328.17 Nonjudicial sale of vessels.-- |
17 | (4) A marina, as defined in s. 327.02(19), shall have: |
18 | (a) A possessory lien upon any vessel for storage fees, |
19 | dockage fees, repairs, improvements, or other work-related |
20 | storage charges, and for expenses necessary for preservation of |
21 | the vessel or expenses reasonably incurred in the sale or other |
22 | disposition of the vessel. The possessory lien shall attach as |
23 | of the date the vessel is brought to the marina, or as of the |
24 | date the vessel first occupies rental space at the marina |
25 | facility. However, in the event of default, the marina must give |
26 | notice to persons who hold perfected security interests against |
27 | the vessel under the Uniform Commercial Code in which the owner |
28 | is named as the debtor. |
29 | (b) A possessory lien upon any vessel in a wrecked, |
30 | junked, or substantially dismantled condition, which has been |
31 | left docked, grounded, beached, or otherwise abandoned at a |
32 | marina without consent of the marina owner, for expenses |
33 | reasonably incurred in the removal and disposal of the vessel. |
34 | The possessory lien shall attach as of the date the vessel is |
35 | discovered at the marina facility. If the funds recovered from |
36 | the sale of such a vessel, or from the scrap or salvage value of |
37 | such a vessel, are insufficient to cover the expenses reasonably |
38 | incurred by the marina in removing and disposing of the vessel, |
39 | all costs in excess of recovery shall be recoverable against the |
40 | owner of the vessel. |
41 | (5) A marina's possessory lien may be satisfied as |
42 | follows: |
43 | (a)1. The marina shall provide written notice to the |
44 | vessel's owner, delivered in person or by certified mail to the |
45 | owner's last known address. The notice shall also be and |
46 | conspicuously posted at the marina and on the vessel. |
47 | 2. In addition to notice provided to the vessel owner |
48 | under subparagraph 1., the marina shall provide written notice |
49 | to each person or entity that: |
50 | a. Holds a security interest on the vessel as shown in the |
51 | records of the Department of Highway Safety and Motor Vehicles |
52 | with respect to state-titled vessels. |
53 | b. Holds a preferred ship mortgage or has filed a claim of |
54 | lien with the United States Coast Guard Vessel Documentation |
55 | Center. |
56 | c. Holds a security interest against the vessel under the |
57 | Uniform Commercial Code. |
58 | d. Has perfected a lien against the subject vessel by |
59 | filing a judgment lien certificate pursuant to s. 55.201-55.209. |
60 | 3. When a vessel displays a foreign country identification |
61 | or displays registration numbers from a state other than |
62 | Florida, the marina shall conduct a reasonable lien search of |
63 | the vessel registration records in the jurisdiction of registry |
64 | to determine if there is a lienholder who is entitled to notice |
65 | pursuant to subparagraph 2. Failure to discover a foreign |
66 | national or non-Florida United States lienholder after a good |
67 | faith effort to conduct such a lien search shall not prevent the |
68 | sale or removal of a vessel from the marina to satisfy the |
69 | marina's possessory lien or a purchaser, in good faith, from |
70 | taking title of the vessel, pursuant to subsections (7) and |
71 | (11). |
72 | 4. The requirements of subparagraph 2. shall be satisfied |
73 | if the marina: |
74 | a. Obtains ownership documentation for the vessel and |
75 | trailer, if applicable, from the Department of Highway Safety |
76 | and Motor Vehicles or other agency where the vessel is |
77 | registered; |
78 | b. Obtains an abstract from the United States Coast Guard |
79 | for a vessel that is documented as defined in 46 U.S.C. s. |
80 | 301.01; |
81 | c. Performs a current Uniform Commercial Code lien search; |
82 | d. Performs a current Florida judgment lien certificate |
83 | search; and |
84 | e. Complies with subparagraph 3. with regard to vessels |
85 | registered in a foreign country or in a state other than |
86 | Florida. |
87 | 5. The written notice to the vessel owner and lienholders |
88 | required by this paragraph shall be made at least 60 days prior |
89 | to any sale of the vessel under this section recorded lienholder |
90 | of such vessel registered with this state as shown by the |
91 | records of the Department of Highway Safety and Motor Vehicles, |
92 | at least 30 days prior to the proposed sale. |
93 | (b) The notice shall include: |
94 | 1. An itemized statement of the marina's claim, showing |
95 | the sum due at the time of the notice and the date upon which |
96 | the sum became due. |
97 | 2. A description of the vessel. |
98 | 3. A demand for payment. |
99 | 4. A conspicuous statement that, unless the claim is paid |
100 | within the time stated in the notice, the vessel will be |
101 | advertised for sale or other disposition and will be sold or |
102 | otherwise disposed of at a specified time and place. |
103 | 5. The name, street address, and telephone number of the |
104 | marina that the owner may contact to respond to the notice. |
105 | (7) If the fees, and costs, and late payment interest that |
106 | give rise to such a lien are due and unpaid 60 120 days after |
107 | the vessel owner and lienholder are is given written notice, the |
108 | marina may sell the vessel, including its machinery, rigging, |
109 | and accessories as provided for in subsection (8) or the marina |
110 | may, at its option, remove the vessel from the marina or from |
111 | the waters of the state at the owner's expense pursuant to |
112 | paragraph (4)(b). |
113 | (10) Before any sale or other disposition of the vessel |
114 | pursuant to this section, the owner or the lienholder may pay |
115 | the amount necessary to satisfy the lien and the reasonable |
116 | expenses and late payment interest incurred under this section |
117 | and thereby redeem and take possession of the vessel. Upon |
118 | receipt of such payment, the marina shall return the property to |
119 | the owner or lienholder making such payment and thereafter shall |
120 | have no liability to any person with respect to such vessel. |
121 | (11) Unless otherwise provided by law, a purchaser in good |
122 | faith of a vessel sold to satisfy a lien provided for in this |
123 | section takes the property free of any claims other than a prior |
124 | lien perfected under state or federal law the Uniform Commercial |
125 | Code, despite noncompliance by the marina with the requirements |
126 | of this section. |
127 | (12) In the event of a sale under this section, the marina |
128 | may satisfy its lien from the proceeds of the sale, provided the |
129 | marina's lien has priority over all other liens on the vessel |
130 | other than a prior lien perfected under the Uniform Commercial |
131 | Code. The lien rights of secured lienholders are automatically |
132 | also attach transferred to the remaining proceeds of the sale. |
133 | The balance, if any, shall be held by the marina for delivery on |
134 | demand to the owner. A notice of any balance shall be delivered |
135 | by the marina to the owner in person or by certified mail to the |
136 | last known address of the owner. If the owner does not claim the |
137 | balance of the proceeds within 1 year after the date of sale, |
138 | the proceeds shall be deemed abandoned, and the marina shall |
139 | have no further obligation with regard to the payment of the |
140 | balance. In the event that the marina's lien does not have |
141 | priority over all other liens, the sale proceeds shall be held |
142 | for the benefit of the holders of those liens having priority. A |
143 | notice of the amount of the sale proceeds shall be delivered by |
144 | the marina to the owner or secured lienholder in person or by |
145 | certified mail to the owner's or the secured lienholder's last |
146 | known address. If the owner or the secured lienholder does not |
147 | claim the sale proceeds within 1 year after the date of sale, |
148 | the proceeds shall be deemed abandoned, and the owner or the |
149 | secured lienholder shall have no further obligation with regard |
150 | to the payment of the proceeds. |
151 | Section 2. This act shall take effect July 1, 2005. |