CS/HB 731

1	A bill to be entitled
2	An act relating to commercial transactions; amending s.
3	627.7295, F.S.; revising application of certain provisions
4	relating to motor vehicle insurance contracts; revising
5	and providing provisions of the Uniform Commercial Code
6	relating to electronic documents of title, warehouse
7	receipts, bills of lading, and other documents of title to
8	conform to the revised Article 7 of the Uniform Commercial
9	Code as prepared by the National Conference of
10	Commissioners on Uniform State Laws; amending ss. 668.50
11	and 671.304, F.S.; correcting cross-references; amending
12	ss. 671.201, 672.103, 672.104, 674.104, 677.102, and
13	679.1021, F.S.; revising and providing definitions;
14	revising provisions pertaining to definitions applicable
15	to certain provisions of the code, to conform cross-
16	references to revisions made by this act; amending s.
17	672.310, F.S.; revising time when certain delivery
18	payments are due; amending ss. 559.9232, 672.323, 672.401,
19	672.503, 672.505, 672.506, 672.509, 672.605, 672.705,
20	674.2101, 677.201, 677.202, 677.203, 677.205, 677.206,
21	677.207, 677.208, 677.301, 677.302, 677.304, 677.305,
22	677.401, 677.402, 677.403, 677.404, 677.502, 677.503,
23	677.505, 677.506, 677.507, 677.508, 677.509, 677.602,
24	677.603, 679.2031, 679.2071, 679.3011, 679.3101, 679.3121,
25	679.3131, 679.3141, 679.3171, 679.338, 680.1031, 680.514,
26	and 680.526, F.S.; revising provisions to conform to
27	changes made by this act; making editorial changes;
28	amending s. 677.103, F.S.; revising and providing
29	application in relation of chapter to treaty, statute,
30	classification, or regulation; amending s. 677.104, F.S.;
31	providing when certain documents of title are
32	nonnegotiable; amending s. 677.105, F.S.; authorizing an
33	issuer of the electronic document to issue a tangible
34	document of title as a substitute for the electronic
35	document under certain conditions; authorizing an issuer
36	of a tangible document to issue an electronic document of
37	title as a substitute for the tangible document under
38	certain conditions; creating s. 677.106, F.S.; providing
39	when certain persons have control of an electronic
40	document of title; amending s. 677.204, F.S.; revising
41	liability of certain damages; authorizing a warehouse
42	receipt or storage agreement to provide certain
43	requirements; amending s. 677.209, F.S.; revising
44	conditions for a warehouse to establish a lien against a
45	bailor; providing when and against whom the lien is
46	effective; amending s. 677.210, F.S.; revising provisions
47	relating to the enforcement of warehouse's liens; amending
48	s. 677.303, F.S.; prohibiting liability for certain
49	carriers; amending s. 677.307, F.S.; revising conditions
50	under which a carrier has a lien on goods covered by a
51	bill of lading; amending s. 677.308, F.S.; revising
52	provisions relating to the enforcement of a carrier's
53	lien; amending s. 677.309, F.S.; revising provisions
54	relating to the contractual limitation of a carrier's
55	liability; amending s. 677.501, F.S.; providing
56	requirements for negotiable tangible documents of title
57	and negotiable electronic documents of title; amending s.
58	677.504, F.S.; providing condition under which the rights
59	of the transferee may be defeated; amending s. 677.601,
60	F.S.; revising provisions relating to lost, stolen, or
61	destroyed documents of title; amending s. 678.1031, F.S.;
62	providing that certain documents of title are not
63	financial assets; amending s. 679.2081, F.S.; providing
64	requirements for secured parties having control of an
65	electronic document; providing an effective date.
66
67	Be It Enacted by the Legislature of the State of Florida:
68
69	Section 1.  Subsection (7) of section 627.7295, Florida
70	Statutes, is amended to read:
71	627.7295  Motor vehicle insurance contracts.-
72	(7)  A policy of private passenger motor vehicle insurance
73	or a binder for such a policy may be initially issued in this
74	state only if the insurer or agent has collected from the
75	insured an amount equal to 2 months' premium. An insurer, agent,
76	or premium finance company may not directly or indirectly take
77	any action resulting in the insured having paid from the
78	insured's own funds an amount less than the 2 months' premium
79	required by this subsection. This subsection applies without
80	regard to whether the premium is financed by a premium finance
81	company or is paid pursuant to a periodic payment plan of an
82	insurer or an insurance agent. This subsection does not apply if
83	an insured or member of the insured's family is renewing or
84	replacing a policy or a binder for such policy written by the
85	same insurer or a member of the same insurer group. This
86	subsection does not apply to an insurer that issues private
87	passenger motor vehicle coverage primarily to active duty or
88	former military personnel or their dependents. This subsection
89	does not apply if all policy payments are paid pursuant to a
90	payroll deduction plan or an automatic electronic funds transfer
91	payment plan from the policyholder, provided that the first
92	policy payment is made by cash, cashier's check, check, or a
93	money order. This subsection and subsection (4) do not apply if
94	all policy payments to an insurer are paid pursuant to an
95	automatic electronic funds transfer payment plan from an agent
96	or a managing general agent, or a premium finance company, and
97	if the policy includes, at a minimum, personal injury protection
98	pursuant to ss. 627.730-627.7405; motor vehicle property damage
99	liability pursuant to s. 627.7275; and bodily injury liability
100	in at least the amount of $10,000 because of bodily injury to,
101	or death of, one person in any one accident and in the amount of
102	$20,000 because of bodily injury to, or death of, two or more
103	persons in any one accident. This subsection and subsection (4)
104	do not apply if an insured has had a policy in effect for at
105	least 6 months, the insured's agent is terminated by the insurer
106	that issued the policy, and the insured obtains coverage on the
107	policy's renewal date with a new company through the terminated
108	agent.
109	Section 2.  Paragraph (f) of subsection (2) of section
110	559.9232, Florida Statutes, is amended to read:
111	559.9232  Definitions; exclusion of rental-purchase
112	agreements from certain regulations.-
113	(2)  A rental-purchase agreement that complies with this
114	act shall not be construed to be, nor be governed by, any of the
115	following:
116	(f)  A security interest as defined in s. 671.201(38)(35).
117	Section 3.  Paragraph (d) of subsection (16) of section
118	668.50, Florida Statutes, is amended to read:
119	668.50  Uniform Electronic Transaction Act.-
120	(16)  TRANSFERABLE RECORDS.-
121	(d)  Except as otherwise agreed, a person having control of
122	a transferable record is the holder, as defined in s.
123	671.201(21), of the transferable record and has the same rights
124	and defenses as a holder of an equivalent record or writing
125	under the Uniform Commercial Code, including, if the applicable
126	statutory requirements under s. 673.3021, s. 677.501, or s.
127	679.330 679.308 are satisfied, the rights and defenses of a
128	holder in due course, a holder to which a negotiable document of
129	title has been duly negotiated, or a purchaser, respectively.
130	Delivery, possession, and indorsement are not required to obtain
131	or exercise any of the rights under this paragraph.
132	Section 4.  Present subsections (25) through (43) of
133	section 671.201, Florida Statutes, are renumbered as subsections
134	(28) through (46), respectively, new subsections (25), (26), and
135	(27) are added to that section, and present subsections (5),
136	(6), (10), (15), (16), (21), and (42) are amended, to read:
137	671.201  General definitions.-Unless the context otherwise
138	requires, words or phrases defined in this section, or in the
139	additional definitions contained in other chapters of this code
140	which apply to particular chapters or parts thereof, have the
141	meanings stated. Subject to definitions contained in other
142	chapters of this code which apply to particular chapters or
143	parts thereof, the term:
144	(5)  "Bearer" means a person in control of a negotiable
145	electronic document of title or a person in possession of a
146	negotiable instrument, a negotiable tangible document of title,
147	or a certificated security that is payable to bearer or indorsed
148	in blank.
149	(6)  "Bill of lading" means a document of title evidencing
150	the receipt of goods for shipment issued by a person engaged in
151	the business of directly or indirectly transporting or
152	forwarding goods. The term does not include a warehouse receipt.
153	(10)  "Conspicuous," with reference to a term, means so
154	written, displayed, or presented that a reasonable person
155	against which whom it is to operate ought to have noticed it.
156	Whether a term is "conspicuous" is a decision for the court.
157	Conspicuous terms include the following:
158	(a)  A heading in capitals in a size equal to or greater in
159	size larger than that of the surrounding text, or in contrasting
160	a type, font, or color in contrast to the surrounding text of
161	the same or lesser size; and.
162	(b)  Language in the body of a record or display in larger
163	type larger than that of the surrounding text; in a type, font,
164	or color in contrast to the surrounding text of the same size;
165	or set off from surrounding text of the same size by symbols or
166	other marks that call attention to the language.
167	(15)  "Delivery," with respect to an electronic document of
168	title, means voluntary transfer of control and "delivery," with
169	respect to instruments instrument, tangible document of title,
170	or chattel paper, or certificated securities, means voluntary
171	transfer of possession.
172	(16)  "Document of title" means a record:
173	(a) includes bill of lading, dock warrant, dock receipt,
174	warehouse receipt or order for the delivery of goods, and any
175	other document That in the regular course of business or
176	financing is treated as adequately evidencing that the person in
177	possession or control of the record it is entitled to receive,
178	control, hold, and dispose of the record document and the goods
179	the record it covers; and
180	(b)  That purports to be issued by or addressed to a bailee
181	and to cover goods in the bailee's possession which are either
182	identified or are fungible portions of an identified mass. The
183	term includes a bill of lading, transport document, dock
184	warrant, dock receipt, warehouse receipt, and order for delivery
185	of goods. An electronic document of title means a document of
186	title evidenced by a record consisting of information stored in
187	an electronic medium. A tangible document of title means a
188	document of title evidenced by a record consisting of
189	information that is inscribed on a tangible medium. To be a
190	document of title, a document must purport to be issued by or
191	addressed to a bailee and purport to cover goods in the bailee's
192	possession which are either identified or are fungible portions
193	of an identified mass.
194	(21)  "Holder" means:
195	(a)  The person in possession of a negotiable instrument
196	that is payable either to bearer or to an identified person that
197	is the person in possession; or
198	(b)  The person in possession of a negotiable tangible
199	document of title if the goods are deliverable either to bearer
200	or to the order of the person in possession; or.
201	(c)  The person in control of a negotiable electronic
202	document of title.
203	(25)  Subject to subsection (27), a person has "notice" of
204	a fact if the person:
205	(a)  Has actual knowledge of it;
206	(b)  Has received a notice or notification of it; or
207	(c)  From all the facts and circumstances known to the
208	person at the time in question, has reason to know that it
209	exists. A person "knows" or has "knowledge" of a fact when the
210	person has actual knowledge of it. "Discover" or "learn" or a
211	word or phrase of similar import refers to knowledge rather than
212	to reason to know. The time and circumstances under which a
213	notice or notification may cease to be effective are not
214	determined by this section.
215	(26)  A person "notifies" or "gives" a notice or
216	notification to another person by taking such steps as may be
217	reasonably required to inform the other person in ordinary
218	course, whether or not the other person actually comes to know
219	of it. Subject to subsection (27), a person "receives" a notice
220	or notification when:
221	(a)  It comes to that person's attention; or
222	(b)  It is duly delivered in a form reasonable under the
223	circumstances at the place of business through which the
224	contract was made or at another location held out by that person
225	as the place for receipt of such communications.
226	(27)  Notice, knowledge, or a notice or notification
227	received by an organization is effective for a particular
228	transaction from the time when it is brought to the attention of
229	the individual conducting that transaction, and, in any event,
230	from the time when it would have been brought to the
231	individual's attention if the organization had exercised due
232	diligence. An organization exercises due diligence if it
233	maintains reasonable routines for communicating significant
234	information to the person conducting the transaction and there
235	is reasonable compliance with the routines. Due diligence does
236	not require an individual acting for the organization to
237	communicate information unless such communication is part of the
238	individual's regular duties or the individual has reason to know
239	of the transaction and that the transaction would be materially
240	affected by the information.
241	(45)(42)  "Warehouse receipt" means a document of title
242	receipt issued by a person engaged in the business of storing
243	goods for hire.
244	Section 5.  Subsection (5) of section 671.304, Florida
245	Statutes, is amended to read:
246	671.304  Laws not repealed; precedence where code
247	provisions in conflict with other laws; certain statutory
248	remedies retained.-
249	(5)  The effectiveness of any financing statement or
250	continuation statement filed prior to January 1, 1980, or any
251	continuation statement filed on or after October 1, 1984, which
252	states that the debtor is a transmitting utility as provided in
253	s. 679.515(6) 679.403(6) shall continue until a termination
254	statement is filed, except that if this act requires a filing in
255	an office where there was no previous financing statement, a new
256	financing statement conforming to s. 680.109(4), Florida
257	Statutes 1979, shall be filed in that office.
258	Section 6.  Subsection (3) of section 672.103, Florida
259	Statutes, is amended to read:
260	672.103  Definitions and index of definitions.-
261	(3)  The following definitions in other chapters apply to
262	this chapter:
263	"Check," s. 673.1041.
264	"Consignee," s. 677.102.
265	"Consignor," s. 677.102.
266	"Consumer goods," s. 679.1021.
267	"Control," s. 677.106.
268	"Dishonor," s. 673.5021.
269	"Draft," s. 673.1041.
270	Section 7.  Subsection (2) of section 672.104, Florida
271	Statutes, is amended to read:
272	672.104  Definitions: "merchant"; "between merchants";
273	"financing agency."-
274	(2)  "Financing agency" means a bank, finance company or
275	other person who in the ordinary course of business makes
276	advances against goods or documents of title or who by
277	arrangement with either the seller or the buyer intervenes in
278	ordinary course to make or collect payment due or claimed under
279	the contract for sale, as by purchasing or paying the seller's
280	draft or making advances against it or by merely taking it for
281	collection whether or not documents of title accompany or are
282	associated with the draft. "Financing agency" includes also a
283	bank or other person who similarly intervenes between persons
284	who are in the position of seller and buyer in respect to the
285	goods (s. 672.707).
286	Section 8.  Subsection (3) of section 672.310, Florida
287	Statutes, is amended to read:
288	672.310  Open time for payment or running of credit;
289	authority to ship under reservation.-Unless otherwise agreed:
290	(3)  If delivery is authorized and made by way of documents
291	of title otherwise than by subsection (2) then payment is due
292	regardless of where the goods are to be received at the time and
293	place at which the buyer is to receive delivery of the tangible
294	documents or at the time the buyer is to receive delivery of the
295	electronic documents and at the seller's place of business or,
296	if none, the seller's residence regardless of where the goods
297	are to be received; and
298	Section 9.  Section 672.323, Florida Statutes, is amended
299	to read:
300	672.323  Form of bill of lading required in overseas
301	shipment; "overseas."-
302	(1)  Where the contract contemplates overseas shipment and
303	contains a term "C.I.F." or "C. & F. or F.O.B. vessel," the
304	seller unless otherwise agreed shall must obtain a negotiable
305	bill of lading stating that the goods have been loaded in on
306	board or, in the case of a term "C.I.F." or "C. & F.," received
307	for shipment.
308	(2)  Where in a case within subsection (1) a tangible bill
309	of lading has been issued in a set of parts, unless otherwise
310	agreed if the documents are not to be sent from abroad the buyer
311	may demand tender of the full set; otherwise only one part of
312	the bill of lading need be tendered. Even if the agreement
313	expressly requires a full set:
314	(a)  Due tender of a single part is acceptable within the
315	provisions of this chapter on cure of improper delivery (s.
316	672.508(1)); and
317	(b)  Even though the full set is demanded, if the documents
318	are sent from abroad the person tendering an incomplete set may
319	nevertheless require payment upon furnishing an indemnity which
320	the buyer in good faith deems adequate.
321	(3)  A shipment by water or by air or a contract
322	contemplating such shipment is "overseas" insofar as by usage of
323	trade or agreement it is subject to the commercial, financing or
324	shipping practices characteristic of international deepwater
325	commerce.
326	Section 10.  Subsections (2) and (3) of section 672.401,
327	Florida Statutes, are amended to read:
328	672.401  Passing of title; reservation for security;
329	limited application of this section.-Each provision of this
330	chapter with regard to the rights, obligations and remedies of
331	the seller, the buyer, purchasers or other third parties applies
332	irrespective of title to the goods except where the provision
333	refers to such title. Insofar as situations are not covered by
334	the other provisions of this chapter and matters concerning
335	title become material the following rules apply:
336	(2)  Unless otherwise explicitly agreed title passes to the
337	buyer at the time and place at which the seller completes her or
338	his performance with reference to the physical delivery of the
339	goods, despite any reservation of a security interest and even
340	though a document of title is to be delivered at a different
341	time or place; and in particular and despite any reservation of
342	a security interest by the bill of lading:
343	(a)  If the contract requires or authorizes the seller to
344	send the goods to the buyer but does not require him or her the
345	seller to deliver them at destination, title passes to the buyer
346	at the time and place of shipment; but
347	(b)  If the contract requires delivery at destination,
348	title passes on tender there.
349	(3)  Unless otherwise explicitly agreed where delivery is
350	to be made without moving the goods:
351	(a)  If the seller is to deliver a tangible document of
352	title, title passes at the time when and the place where he or
353	she the seller delivers such documents and if the seller is to
354	deliver an electronic document of title, title passes when the
355	seller delivers the document; or
356	(b)  If the goods are at the time of contracting already
357	identified and no documents of title are to be delivered, title
358	passes at the time and place of contracting.
359	Section 11.  Subsections (4) and (5) of section 672.503,
360	Florida Statutes, are amended to read:
361	672.503  Manner of seller's tender of delivery.-
362	(4)  Where goods are in the possession of a bailee and are
363	to be delivered without being moved:
364	(a)  Tender requires that the seller either tender a
365	negotiable document of title covering such goods or procure
366	acknowledgment by the bailee of the buyer's right to possession
367	of the goods; but
368	(b)  Tender to the buyer of a nonnegotiable document of
369	title or of a record directing written direction to the bailee
370	to deliver is sufficient tender unless the buyer seasonably
371	objects, and, except as otherwise provided in chapter 679,
372	receipt by the bailee of notification of the buyer's rights
373	fixes those rights as against the bailee and all third persons;
374	but risk of loss of the goods and of any failure by the bailee
375	to honor the nonnegotiable document of title or to obey the
376	direction remains on the seller until the buyer has had a
377	reasonable time to present the document or direction, and a
378	refusal by the bailee to honor the document or to obey the
379	direction defeats the tender.
380	(5)  Where the contract requires the seller to deliver
381	documents:
382	(a)  He or she shall must tender all such documents in
383	correct form, except as provided in this chapter with respect to
384	bills of lading in a set (s. 672.323(2)); and
385	(b)  Tender through customary banking channels is
386	sufficient and dishonor of a draft accompanying or associated
387	with the documents constitutes nonacceptance or rejection.
388	Section 12.  Section 672.505, Florida Statutes, is amended
389	to read:
390	672.505  Seller's shipment under reservation.-
391	(1)  Where the seller has identified goods to the contract
392	by or before shipment:
393	(a)  His or her The seller's procurement of a negotiable
394	bill of lading to his or her own order or otherwise reserves in
395	him or her the seller a security interest in the goods. His or
396	her procurement of the bill to the order of a financing agency
397	or of the buyer indicates in addition only the seller's
398	expectation of transferring that interest to the person named.
399	(b)  A nonnegotiable bill of lading to himself or herself
400	or his or her nominee reserves possession of the goods as
401	security but except in a case of conditional delivery (s.
402	672.507(2)) a nonnegotiable bill of lading naming the buyer as
403	consignee reserves no security interest even though the seller
404	retains possession or control of the bill of lading.
405	(2)  When shipment by the seller with reservation of a
406	security interest is in violation of the contract for sale it
407	constitutes an improper contract for transportation within the
408	preceding section but impairs neither the rights given to the
409	buyer by shipment and identification of the goods to the
410	contract nor the seller's powers as a holder of a negotiable
411	document of title.
412	Section 13.  Subsection (2) of section 672.506, Florida
413	Statutes, is amended to read:
414	672.506  Rights of financing agency.-
415	(2)  The right to reimbursement of a financing agency which
416	has in good faith honored or purchased the draft under
417	commitment to or authority from the buyer is not impaired by
418	subsequent discovery of defects with reference to any relevant
419	document which was apparently regular on its face.
420	Section 14.  Subsection (2) of section 672.509, Florida
421	Statutes, is amended to read:
422	672.509  Risk of loss in the absence of breach.-
423	(2)  Where the goods are held by a bailee to be delivered
424	without being moved, the risk of loss passes to the buyer:
425	(a)  On her or his receipt of possession or control of a
426	negotiable document of title covering the goods; or
427	(b)  On acknowledgment by the bailee of the buyer's right
428	to possession of the goods; or
429	(c)  After her or his receipt of possession or control of a
430	nonnegotiable document of title or other written direction to
431	deliver in a record, as provided in s. 672.503(4)(b).
432	Section 15.  Subsection (2) of section 672.605, Florida
433	Statutes, is amended to read:
434	672.605  Waiver of buyer's objections by failure to
435	particularize.-
436	(2)  Payment against documents made without reservation of
437	rights precludes recovery of the payment for defects apparent in
438	on the face of the documents.
439	Section 16.  Subsections (2) and (3) of section 672.705,
440	Florida Statutes, are amended to read:
441	672.705  Seller's stoppage of delivery in transit or
442	otherwise.-
443	(2)  As against such buyer the seller may stop delivery
444	until:
445	(a)  Receipt of the goods by the buyer; or
446	(b)  Acknowledgment to the buyer by any bailee of the goods
447	except a carrier that the bailee holds the goods for the buyer;
448	or
449	(c)  Such acknowledgment to the buyer by a carrier by
450	reshipment or as a warehouse warehouseman; or
451	(d)  Negotiation to the buyer of any negotiable document of
452	title covering the goods.
453	(3)(a)  To stop delivery the seller shall must so notify as
454	to enable the bailee by reasonable diligence to prevent delivery
455	of the goods.
456	(b)  After such notification the bailee shall must hold and
457	deliver the goods according to the directions of the seller but
458	the seller is liable to the bailee for any ensuing charges or
459	damages.
460	(c)  If a negotiable document of title has been issued for
461	goods the bailee is not obliged to obey a notification to stop
462	until surrender of possession or control of the document.
463	(d)  A carrier who has issued a nonnegotiable bill of
464	lading is not obliged to obey a notification to stop received
465	from a person other than the consignor.
466	Section 17.  Subsection (3) of section 674.104, Florida
467	Statutes, is amended to read:
468	674.104  Definitions and index of definitions.-
469	(3)  The following definitions in other chapters apply to
470	this chapter:
471	"Acceptance," s. 673.4091.
472	"Alteration," s. 673.4071.
473	"Cashier's check," s. 673.1041.
474	"Certificate of deposit," s. 673.1041.
475	"Certified check," s. 673.4091.
476	"Check," s. 673.1041.
477	"Control," s. 677.106.
478	"Good faith," s. 673.1031.
479	"Holder in due course," s. 673.3021.
480	"Instrument," s. 673.1041.
481	"Notice of dishonor," s. 673.5031.
482	"Order," s. 673.1031.
483	"Ordinary care," s. 673.1031.
484	"Person entitled to enforce," s. 673.3011.
485	"Presentment," s. 673.5011.
486	"Promise," s. 673.1031.
487	"Prove," s. 673.1031.
488	"Teller's check," s. 673.1041.
489	"Unauthorized signature," s. 673.4031.
490	Section 18.  Subsection (3) of section 674.2101, Florida
491	Statutes, is amended to read:
492	674.2101  Security interest of collecting bank in items,
493	accompanying documents, and proceeds.-
494	(3)  Receipt by a collecting bank of a final settlement for
495	an item is a realization on its security interest in the item,
496	accompanying documents, and proceeds. So long as the bank does
497	not receive final settlement for the item or give up possession
498	of the item or possession or control of the accompanying or
499	associated documents for purposes other than collection, the
500	security interest continues to that extent and is subject to
501	chapter 679, but:
502	(a)  No security agreement is necessary to make the
503	security interest enforceable (s. 679.2031(2)(c)1.);
504	(b)  No filing is required to perfect the security
505	interest; and
506	(c)  The security interest has priority over conflicting
507	perfected security interests in the item, accompanying
508	documents, or proceeds.
509	Section 19.  Section 677.102, Florida Statutes, is amended
510	to read:
511	677.102  Definitions and index of definitions.-
512	(1)  In this chapter, unless the context otherwise
513	requires:
514	(a)  "Bailee" means a the person that who by a warehouse
515	receipt, bill of lading or other document of title acknowledges
516	possession of goods and contracts to deliver them.
517	(b)  "Carrier"  means a person that issues a bill of
518	lading.
519	(c)(b)  "Consignee" means a the person named in a bill of
520	lading to which whom or to whose order the bill promises
521	delivery.
522	(d)(c)  "Consignor" means a the person named in a bill of
523	lading as the person from which whom the goods have been
524	received for shipment.
525	(e)(d)  "Delivery order" means a record that contains an
526	written order to deliver goods directed to a warehouse
527	warehouseman, carrier, or other person that who in the ordinary
528	course of business issues warehouse receipts or bills of lading.
529	(f)  "Good faith" means honesty in fact and the observance
530	of reasonable commercial standards of fair dealing.
531	(e)  "Document" means document of title as defined in the
532	general definitions in chapter 671 (s. 671.201).
533	(g)(f)  "Goods" means all things that which are treated as
534	movable for the purposes of a contract of storage or
535	transportation.
536	(h)(g)  "Issuer" means a bailee who issues a document of
537	title or, in the case of except that in relation to an
538	unaccepted delivery order, it means the person who orders the
539	possessor of goods to deliver. The term Issuer includes a any
540	person for which whom an agent or employee purports to act in
541	issuing a document if the agent or employee has real or apparent
542	authority to issue documents, notwithstanding that the issuer
543	received no goods or that the goods were misdescribed or that in
544	any other respect the agent or employee violated his or her
545	instructions.
546	(i)  "Person entitled under the document" means the holder,
547	in the case of a negotiable document of title, or the person to
548	which delivery of the goods is to be made by the terms of, or
549	pursuant to instructions in a record under, a nonnegotiable
550	document of title.
551	(j)  "Record" means information that is inscribed on a
552	tangible medium or that is stored in an electronic or other
553	medium and is retrievable in perceivable form.
554	(k)  "Shipper" means a person that enters into a contract
555	of transportation with a carrier.
556	(l)  "Sign" means, with present intent to authenticate or
557	adopt a record:
558	1.  To execute or adopt a tangible symbol; or
559	2.  To attach to or logically associate with the record an
560	electronic sound, symbol, or process.
561	(m)(h)  "Warehouse" means "Warehouseman" is a person
562	engaged in the business of storing goods for hire.
563	(2)  Other definitions applying to this chapter or to
564	specified parts thereof, and the sections in which they appear
565	are:
566	"Duly negotiate," s. 677.501.
567	"Person entitled under the document," s. 677.403(4).
568	(3)  Definitions in other chapters applying to this chapter
569	and the sections in which they appear are:
570	"Contract for sale," s. 672.106.
571	"Overseas," s. 672.323.
572	"Lessee in ordinary course of business," s. 680.1031.
573	"Receipt" of goods, s. 672.103.
574	(3)(4)  In addition, chapter 671 contains general
575	definitions and principles of construction and interpretation
576	applicable throughout this chapter.
577	Section 20.  Section 677.103, Florida Statutes, is amended
578	to read:
579	677.103  Relation of chapter to treaty, statute, tariff,
580	classification, or regulation.-
581	(1)  Except as otherwise provided in this chapter, this
582	chapter is subject to the extent that any treaty or statute of
583	the United States to the extent the treaty or statute,
584	regulatory statute of this state or tariff, classification or
585	regulation filed or issued pursuant thereto is applicable, the
586	provisions of this chapter are subject thereto.
587	(2)  This chapter does not modify or repeal any law
588	prescribing the form or content of a document of title or the
589	services or facilities to be afforded by a bailee, or otherwise
590	regulating a bailee's business in respects not specifically
591	treated in this chapter. However, a violation of such a law does
592	not affect the status of a document of title that otherwise is
593	within the definition of a document of title.
594	(3)  This chapter modifies, limits, and supersedes the
595	federal Electronic Signatures in Global and National Commerce
596	Act, 15 U.S.C. ss. 7001, et seq., but does not modify, limit, or
597	supersede s. 101(c) of that act, 15 U.S.C. s. 7001(c), or
598	authorize electronic delivery of any of the notices described in
599	s. 103(b) of that act, 15 U.S.C. s. 7003(b).
600	(4)  To the extent that there is a conflict between any
601	provisions of the laws of this state regarding electronic
602	transactions and this chapter, this chapter governs.
603	Section 21.  Section 677.104, Florida Statutes, is amended
604	to read:
605	677.104  Negotiable and nonnegotiable warehouse receipt,
606	bill of lading or other document of title.-
607	(1)  Except as otherwise provided in subsection (3), a
608	warehouse receipt, bill of lading or other document of title is
609	negotiable:
610	(a)  if by its terms the goods are to be delivered to
611	bearer or to the order of a named person; or
612	(b)  Where recognized in overseas trade, if it runs to a
613	named person or assigns.
614	(2)  A document of title other than one described in
615	subsection (1) Any other document is nonnegotiable. A bill of
616	lading that states in which it is stated that the goods are
617	consigned to a named person is not made negotiable by a
618	provision that the goods are to be delivered only against an a
619	written order in a record signed by the same or another named
620	person.
621	(3)  A document of title is nonnegotiable if, at the time
622	it is issued, the document has a conspicuous legend, however
623	expressed, that it is nonnegotiable.
624	Section 22.  Section 677.105, Florida Statutes, is amended
625	to read:
626	677.105  Reissuance in alternative medium Construction
627	against negative implication.-
628	(1)  Upon request of a person entitled under an electronic
629	document of title, the issuer of the electronic document may
630	issue a tangible document of title as a substitute for the
631	electronic document if:
632	(a)  The person entitled under the electronic document
633	surrenders control of the document to the issuer; and
634	(b)  The tangible document when issued contains a statement
635	that it is issued in substitution for the electronic document.
636	(2)  Upon issuance of a tangible document of title in
637	substitution for an electronic document of title in accordance
638	with subsection (1):
639	(a)  The electronic document ceases to have any effect or
640	validity; and
641	(b)  The person that procured issuance of the tangible
642	document warrants to all subsequent persons entitled under the
643	tangible document that the warrantor was a person entitled under
644	the electronic document when the warrantor surrendered control
645	of the electronic document to the issuer.
646	(3)  Upon request of a person entitled under a tangible
647	document of title, the issuer of the tangible document may issue
648	an electronic document of title as a substitute for the tangible
649	document if:
650	(a)  The person entitled under the tangible document
651	surrenders possession of the document to the issuer; and
652	(b)  The electronic document when issued contains a
653	statement that it is issued in substitution for the tangible
654	document.
655	(4)  Upon issuance of an electronic document of title in
656	substitution for a tangible document of title is accordance with
657	subsection (3):
658	(a)  The tangible document ceases to have any effect or
659	validity; and
660	(b)  The person that procured issuance of the electronic
661	document warrants to all subsequent persons entitled under the
662	electronic document that the warrantor was a person entitled
663	under the tangible document when the warrantor surrendered
664	possession of the tangible document to the issuer. The omission
665	from either part II or part III of this chapter of a provision
666	corresponding to a provision made in the other part does not
667	imply that a corresponding rule of law is not applicable.
668	Section 23.  Section 677.106, Florida Statutes, is created
669	to read:
670	677.106  Control of electronic document of title.-
671	(1)  A person has control of an electronic document of
672	title if a system employed for evidencing the transfer of
673	interests in the electronic document reliably establishes that
674	person as the person to which the electronic document was issued
675	or transferred.
676	(2)  A system satisfies subsection (1), and a person is
677	deemed to have control of an electronic document of title, if
678	the document is created, stored, and assigned in a manner that:
679	(a)  A single authoritative copy of the document exists
680	which is unique, identifiable, and, except as otherwise provided
681	in paragraphs (d), (e), and (f), unalterable;
682	(b)  The authoritative copy identifies the person asserting
683	control as:
684	1.  The person to which the document was issued; or
685	2.  If the authoritative copy indicates that the document
686	has been transferred, the person to which the document was most
687	recently transferred;
688	(c)  The authoritative copy is communicated to and
689	maintained by the person asserting control or its designated
690	custodian;
691	(d)  Copies or amendments that add or change an identified
692	assignee of the authoritative copy can be made only with the
693	consent of the person asserting control;
694	(e)  Each copy of the authoritative copy and any copy of a
695	copy is readily identifiable as a copy that is not the
696	authoritative copy; and
697	(f)  Any amendment of the authoritative copy is readily
698	identifiable as authorized or unauthorized.
699	Section 24.  Section 677.201, Florida Statutes, is amended
700	to read:
701	677.201  Persons that Who may issue a warehouse receipt;
702	storage under government bond.-
703	(1)  A warehouse receipt may be issued by any warehouse
704	warehouseman.
705	(2)  If Where goods, including distilled spirits and
706	agricultural commodities, are stored under a statute requiring a
707	bond against withdrawal or a license for the issuance of
708	receipts in the nature of warehouse receipts, a receipt issued
709	for the goods is deemed to be has like effect as a warehouse
710	receipt even if though issued by a person that who is the owner
711	of the goods and is not a warehouse warehouseman.
712	Section 25.  Section 677.202, Florida Statutes, is amended
713	to read:
714	677.202  Form of warehouse receipt; effect of omission
715	essential terms; optional terms.-
716	(1)  A warehouse receipt need not be in any particular
717	form.
718	(2)  Unless a warehouse receipt provides for embodies
719	within its written or printed terms each of the following, the
720	warehouse warehouseman is liable for damages caused to a person
721	injured by its by the omission to a person injured thereby:
722	(a)  A statement of the location of the warehouse facility
723	where the goods are stored;
724	(b)  The date of issue of the receipt;
725	(c)  The unique identification code consecutive number of
726	the receipt;
727	(d)  A statement whether the goods received will be
728	delivered to the bearer, to a named specified person, or to a
729	named specified person or its his or her order;
730	(e)  The rate of storage and handling charges, unless
731	except that where goods are stored under a field warehousing
732	arrangement, in which case a statement of that fact is
733	sufficient on a nonnegotiable receipt;
734	(f)  A description of the goods or of the packages
735	containing them;
736	(g)  The signature of the warehouse or its warehouseman,
737	which may be made by his or her authorized agent;
738	(h)  If the receipt is issued for goods that the warehouse
739	owns of which the warehouseman is owner, either solely, or
740	jointly, or in common with others, a statement of the fact of
741	that such ownership; and
742	(i)  A statement of the amount of advances made and of
743	liabilities incurred for which the warehouse warehouseman claims
744	a lien or security interest, unless (s. 677.209). If the precise
745	amount of such advances made or of such liabilities incurred is,
746	at the time of the issue of the receipt is, unknown to the
747	warehouse warehouseman or to its his or her agent that issued
748	the receipt, in which case who issues it, a statement of the
749	fact that advances have been made or liabilities incurred and
750	the purpose of the advances or liabilities thereof is
751	sufficient.
752	(3)  A warehouse warehouseman may insert in its his or her
753	receipt any other terms that which are not contrary to the
754	provisions of this code and do not impair its his or her
755	obligation of delivery under s. 677.403 (s. 677.403) or its his
756	or her duty of care under s. 677.204 (s. 677.204). Any contrary
757	provision is provisions shall be
758	Section 26.  Section 677.203, Florida Statutes, is amended
759	to read:
760	677.203  Liability of nonreceipt or misdescription.-A party
761	to or purchaser for value in good faith of a document of title,
762	other than a bill of lading, that relies relying in either case
763	upon the description therein of the goods in the document may
764	recover from the issuer damages caused by the nonreceipt or
765	misdescription of the goods, except to the extent that:
766	(1)  The document conspicuously indicates that the issuer
767	does not know whether all or any part or all of the goods in
768	fact were received or conform to the description, such as a case
769	in which as where the description is in terms of marks or labels
770	or kind, quantity or condition, or the receipt or description is
771	qualified by "contents, condition and quality unknown," "said to
772	contain," or words of similar import the like, if such
773	indication is be true;, or
774	(2)  The party or purchaser otherwise has notice of the
775	nonreceipt or misdescription.
776	Section 27.  Section 677.204, Florida Statutes, is amended
777	to read:
778	677.204  Duty of care; contractual limitation of
779	warehouse's warehouseman's liability.-
780	(1)  A warehouse warehouseman is liable for damages for
781	loss of or injury to the goods caused by its his or her failure
782	to exercise such care with in regard to the goods that them as a
783	reasonably careful person would exercise under similar like
784	circumstances. but Unless otherwise agreed, the warehouse he or
785	she is not liable for damages that which could not have been
786	avoided by the exercise of that such care.
787	(2)  Damages may be limited by a term in the warehouse
788	receipt or storage agreement limiting the amount of liability in
789	case of loss or damage, and setting forth a specific liability
790	per article or item, or value per unit of weight, or any other
791	negotiated limitation of damages as agreed upon between the
792	parties beyond which the warehouse is warehouseman shall not be
793	liable. Such a limitation is not effective with respect to the
794	warehouse's liability for conversion to its own use. On;
795	provided, however, that such liability may on written request of
796	the bailor in a record at the time of signing the such storage
797	agreement or within a reasonable time after receipt of the
798	warehouse receipt, the warehouse's liability may be increased on
799	part or all of the goods covered by the storage agreement or the
800	warehouse receipt. In this event, thereunder, in which event
801	increased rates may be charged based on an such increased
802	valuation of the goods, but that no such increase shall be
803	permitted contrary to a lawful limitation of liability contained
804	in the warehouseman's tariff, if any. No such limitation is
805	effective with respect to the warehouseman's liability for
806	conversion to his or her own use.
807	(3)  Reasonable provisions as to the time and manner of
808	presenting claims and commencing actions based on the bailment
809	may be included in the warehouse receipt or storage agreement.
810	(4)(3)  This section does not impair or repeal any statute
811	which imposes a higher responsibility upon the warehouse
812	warehouseman or invalidates contractual limitations which would
813	be permissible under this chapter.
814	Section 28.  Section 677.205, Florida Statutes, is amended
815	to read:
816	677.205  Title under warehouse receipt defeated in certain
817	cases.-A buyer in the ordinary course of business of fungible
818	goods sold and delivered by a warehouse that warehouseman who is
819	also in the business of buying and selling such goods takes the
820	goods free of any claim under a warehouse receipt even if the
821	receipt is negotiable and though it has been duly negotiated.
822	Section 29.  Section 677.206, Florida Statutes, is amended
823	to read:
824	677.206  Termination of storage at warehouse's
825	warehouseman's option.-
826	(1)  A warehouse, by giving notice to warehouseman may on
827	notifying the person on whose account the goods are held and any
828	other person known to claim an interest in the goods, may
829	require payment of any charges and removal of the goods from the
830	warehouse at the termination of the period of storage fixed by
831	the document of title or by a nonnegotiable warehouse receipt,
832	or, if a no period is not fixed, within a stated period not less
833	than 30 days after the warehouse gives notice notification. If
834	the goods are not removed before the date specified in the
835	notice notification, the warehouse warehouseman may sell them
836	pursuant to s. 677.210 in accordance with the provisions of the
837	section on enforcement of a warehouseman's lien (s. 677.210).
838	(2)  If a warehouse warehouseman in good faith believes
839	that the goods are about to deteriorate or decline in value to
840	less than the amount of its his or her lien within the time
841	provided prescribed in subsection (1) and s. 677.210 for
842	notification, advertisement and sale, the warehouse warehouseman
843	may specify in the notice given under subsection (1)
844	notification any reasonable shorter time for removal of the
845	goods and, if in case the goods are not removed, may sell them
846	at public sale held not less than 1 week after a single
847	advertisement or posting.
848	(3)  If, as a result of a quality or condition of the goods
849	of which the warehouse did not have warehouseman had no notice
850	at the time of deposit, the goods are a hazard to other
851	property, or to the warehouse facilities, or other to persons,
852	the warehouse warehouseman may sell the goods at public or
853	private sale without advertisement or posting on reasonable
854	notification to all persons known to claim an interest in the
855	goods. If the warehouse, warehouseman after a reasonable effort,
856	is unable to sell the goods, it he or she may dispose of them in
857	any lawful manner and does not shall incur no liability by
858	reason of that such disposition.
859	(4)  A warehouse shall The warehouseman must deliver the
860	goods to any person entitled to them under this chapter upon due
861	demand made at any time before prior to sale or other
862	disposition under this section.
863	(5)  A warehouse The warehouseman may satisfy its his or
864	her lien from the proceeds of any sale or disposition under this
865	section but shall must hold the balance for delivery on the
866	demand of any person to which the warehouse whom he or she would
867	have been bound to deliver the goods.
868	Section 30.  Section 677.207, Florida Statutes, is amended
869	to read:
870	677.207  Goods shall must be kept separate; fungible
871	goods.-
872	(1)  Unless the warehouse receipt otherwise provides
873	otherwise, a warehouse shall warehouseman must keep separate the
874	goods covered by each receipt so as to permit at all times
875	identification and delivery of those goods. However, except that
876	different lots of fungible goods may be commingled.
877	(2)  If different lots of fungible goods are so commingled,
878	the goods are owned in common by the persons entitled thereto
879	and the warehouse warehouseman is severally liable to each owner
880	for that owner's share. If, Where because of overissue, a mass
881	of fungible goods is insufficient to meet all the receipts which
882	the warehouse warehouseman has issued against it, the persons
883	entitled include all holders to whom overissued receipts have
884	been duly negotiated.
885	Section 31.  Section 677.208, Florida Statutes, is amended
886	to read:
887	677.208  Altered warehouse receipts.-If Where a blank in a
888	negotiable warehouse receipt has been filled in without
889	authority, a good faith purchaser for value and without notice
890	of the lack want of authority may treat the insertion as
891	authorized. Any other unauthorized alteration leaves any
892	tangible or electronic warehouse receipt enforceable against the
893	issuer according to its original tenor.
894	Section 32.  Section 677.209, Florida Statutes, is amended
895	to read:
896	677.209  Lien of warehouse warehouseman.-
897	(1)  A warehouse warehouseman has a lien against the bailor
898	on the goods covered by a warehouse receipt or storage agreement
899	or on the proceeds thereof in its his or her possession for
900	charges for storage or transportation, including demurrage and
901	terminal charges (including demurrage and terminal charges),
902	insurance, labor, or other charges, present or future, in
903	relation to the goods, and for expenses necessary for
904	preservation of the goods or reasonably incurred in their sale
905	pursuant to law. If the person on whose account the goods are
906	held is liable for similar like charges or expenses in relation
907	to other goods whenever deposited and it is stated in the
908	warehouse receipt or storage agreement that a lien is claimed
909	for charges and expenses in relation to other goods, the
910	warehouse warehouseman also has a lien against the goods covered
911	by the warehouse receipt or storage agreement or on the proceeds
912	thereof in its possession him or her for those such charges and
913	expenses, whether or not the other goods have been delivered by
914	the warehouse warehouseman. However, as But against a person to
915	which whom a negotiable warehouse receipt is duly negotiated, a
916	warehouse's warehouseman's lien is limited to charges in an
917	amount or at a rate specified in on the warehouse receipt or, if
918	no charges are so specified, then to a reasonable charge for
919	storage of the specific goods covered by the receipt subsequent
920	to the date of the receipt.
921	(2)  A warehouse The warehouseman may also reserve a
922	security interest against the bailor for the a maximum amount
923	specified on the receipt for charges other than those specified
924	in subsection (1), such as for money advanced and interest. The
925	Such a security interest is governed by chapter 679 the chapter
926	on secured transactions (chapter 679).
927	(3)  A warehouse's warehouseman's lien for charges and
928	expenses under subsection (1) or a security interest under
929	subsection (2) is also effective against any person that who so
930	entrusted the bailor with possession of the goods that a pledge
931	of them by the bailor him or her to a good faith good faith
932	purchaser for value would have been valid. However, the lien or
933	security interest but is not effective against a person that
934	before issuance of a document of title had a legal interest or a
935	perfected security interest in the goods and that did not:
936	(a)  Deliver or entrust the goods or any document of title
937	covering the goods to the bailor or the bailor's nominee with:
938	1.  Actual or apparent authority to ship, store, or sell;
939	2.  Power to obtain delivery under s. 677.403; or
940	3.  Power of disposition under s. 672.403, s. 680.304(2),
941	s. 680.305(2), s. 679.320, or s. 679.321(3) or other statute or
942	rule of law; or
943	(b)  Acquiesce in the procurement by the bailor or its
944	nominee of any document as to whom the document confers no right
945	in the goods covered by it under s. 677.503.
946	(4)  A warehouse's lien on household goods for charges and
947	expenses in relation to the goods under subsection (1) is also
948	effective against all persons if the depositor was the legal
949	possessor of the goods at the time of deposit. In this
950	subsection, the term "household goods" means furniture,
951	furnishings, or personal effects used by the depositor in a
952	dwelling.
953	(5)(4)  A warehouse warehouseman loses its his or her lien
954	on any goods that it which he or she voluntarily delivers or
955	which he or she unjustifiably refuses to deliver.
956	Section 33.  Section 677.210, Florida Statutes, is amended
957	to read:
958	677.210  Enforcement of warehouse's warehouseman's lien.-
959	(1)  Except as provided in subsection (2), a warehouse's
960	warehouseman's lien may be enforced by public or private sale of
961	the goods, in bulk or in packages in block or in parcels, at any
962	time or place and on any terms that which are commercially
963	reasonable, after notifying all persons known to claim an
964	interest in the goods. The Such notification shall must include
965	a statement of the amount due, the nature of the proposed sale,
966	and the time and place of any public sale. The fact that a
967	better price could have been obtained by a sale at a different
968	time or in a different method from that selected by the
969	warehouse warehouseman is not of itself sufficient to establish
970	that the sale was not made in a commercially reasonable manner.
971	The warehouse sells in a commercially reasonable manner if the
972	warehouse If the warehouseman either sells the goods in the
973	usual manner in any recognized market therefor, or if he or she
974	sells at the price current in that such market at the time of
975	the his or her sale, or if he or she has otherwise sells sold in
976	conformity with commercially reasonable practices among dealers
977	in the type of goods sold, he or she has sold in a commercially
978	reasonable manner. A sale of more goods than apparently
979	necessary to be offered to ensure satisfaction of the obligation
980	is not commercially reasonable except in cases covered by the
981	preceding sentence.
982	(2)  A warehouse may enforce its warehouseman's lien on
983	goods, other than goods stored by a merchant in the course of
984	its his or her business, only if the following requirements are
985	satisfied may be enforced only as follows:
986	(a)  All persons known to claim an interest in the goods
987	shall must be notified.
988	(b)  The notification must be delivered in person or sent
989	by registered or certified letter to the last known address of
990	any person to be notified.
991	(c)  The notification shall must include an itemized
992	statement of the claim, a description of the goods subject to
993	the lien, a demand for payment within a specified time not less
994	than 10 days after receipt of the notification, and a
995	conspicuous statement that unless the claim is paid within that
996	time the goods will be advertised for sale and sold by auction
997	at a specified time and place.
998	(d)  The sale shall must conform to the terms of the
999	notification.
1000	(e)  The sale shall must be held at the nearest suitable
1001	place to that where the goods are held or stored.
1002	(f)  After the expiration of the time given in the
1003	notification, an advertisement of the sale shall must be
1004	published once a week for 2 weeks consecutively in a newspaper
1005	of general circulation where the sale is to be held. The
1006	advertisement shall must include a description of the goods, the
1007	name of the person on whose account they are being held, and the
1008	time and place of the sale. The sale shall must take place at
1009	least 15 days after the first publication. If there is no
1010	newspaper of general circulation where the sale is to be held,
1011	the advertisement shall must be posted at least 10 days before
1012	the sale in not fewer less than 6 conspicuous places in the
1013	neighborhood of the proposed sale.
1014	(3)  Before any sale pursuant to this section any person
1015	claiming a right in the goods may pay the amount necessary to
1016	satisfy the lien and the reasonable expenses incurred in
1017	complying with under this section. In that event, the goods may
1018	must not be sold, but shall must be retained by the warehouse
1019	warehouseman subject to the terms of the receipt and this
1020	chapter.
1021	(4)  A warehouse The warehouseman may buy at any public
1022	sale held pursuant to this section.
1023	(5)  A purchaser in good faith of goods sold to enforce a
1024	warehouse's warehouseman's lien takes the goods free of any
1025	rights of persons against which whom the lien was valid, despite
1026	the warehouse's noncompliance by the warehouseman with the
1027	requirements of this section.
1028	(6)  A warehouse The warehouseman may satisfy its his or
1029	her lien from the proceeds of any sale pursuant to this section
1030	but shall must hold the balance, if any, for delivery on demand
1031	to any person to which the warehouse whom he or she would have
1032	been bound to deliver the goods.
1033	(7)  The rights provided by this section shall be in
1034	addition to all other rights allowed by law to a creditor
1035	against a his or her debtor.
1036	(8)  If Where a lien is on goods stored by a merchant in
1037	the course of its his or her business, the lien may be enforced
1038	in accordance with either subsection (1) or subsection (2).
1039	(9)  A warehouse The warehouseman is liable for damages
1040	caused by failure to comply with the requirements for sale under
1041	this section, and in case of willful violation, is liable for
1042	conversion.
1043	Section 34.  Section 677.301, Florida Statutes, is amended
1044	to read:
1045	677.301  Liability for nonreceipt or misdescription; "said
1046	to contain"; "shipper's weight, load, and count"; improper
1047	handling.-
1048	(1)  A consignee of a nonnegotiable bill of lading which
1049	who has given value in good faith, or a holder to which whom a
1050	negotiable bill has been duly negotiated, relying in either case
1051	upon the description therein of the goods in the bill, or upon
1052	the date therein shown in the bill, may recover from the issuer
1053	damages caused by the misdating of the bill or the nonreceipt or
1054	misdescription of the goods, except to the extent that the bill
1055	document indicates that the issuer does not know whether any
1056	part or all of the goods in fact were received or conform to the
1057	description, such as in the case in which where the description
1058	is in terms of marks or labels or kind, quantity, or condition
1059	or the receipt or description is qualified by "contents or
1060	condition of contents of packages unknown," "said to contain,"
1061	"shipper's weight, load, and count" or words of similar import
1062	the like, if that such indication is be true.
1063	(2)  If When goods are loaded by the an issuer of a bill of
1064	lading: who is a common carrier,
1065	(a)  The issuer shall must count the packages of goods if
1066	shipped in packages package freight and ascertain the kind and
1067	quantity if shipped in bulk; and freight.
1068	(b)  Words In such as cases "shipper's weight, load, and
1069	count" or other words of similar import indicating that the
1070	description was made by the shipper are ineffective except as to
1071	goods freight concealed in by packages.
1072	(3)  If When bulk goods are freight is loaded by a shipper
1073	that who makes available to the issuer of a bill of lading
1074	adequate facilities for weighing those goods, the such freight,
1075	an issuer shall who is a common carrier must ascertain the kind
1076	and quantity within a reasonable time after receiving the
1077	shipper's written request of the shipper to do so. In that case
1078	such cases "shipper's weight, load, and count" or other words of
1079	similar import like purport are ineffective.
1080	(4)  The issuer of a bill of lading, may by including
1081	inserting in the bill the words "shipper's weight, load, and
1082	count" or other words of similar import, may like purport
1083	indicate that the goods were loaded by the shipper,; and if that
1084	such statement is be true, the issuer is shall not be liable for
1085	damages caused by the improper loading. However, But their
1086	omission of such words does not imply liability for such damages
1087	caused by improper loading.
1088	(5)  A The shipper guarantees shall be deemed to have
1089	guaranteed to an the issuer the accuracy at the time of shipment
1090	of the description, marks, labels, number, kind, quantity,
1091	condition and weight, as furnished by the shipper, him or her;
1092	and the shipper shall indemnify the issuer against damage caused
1093	by inaccuracies in those such particulars. This The right of the
1094	issuer to such indemnity does not shall in no way limit the
1095	issuer's his or her responsibility or and liability under the
1096	contract of carriage to any person other than the shipper.
1097	Section 35.  Section 677.302, Florida Statutes, is amended
1098	to read:
1099	677.302  Through bills of lading and similar documents of
1100	title.-
1101	(1)  The issuer of a through bill of lading, or other
1102	document of title embodying an undertaking to be performed in
1103	part by a person persons acting as its agent agents or by a
1104	performing carrier, connecting carriers is liable to any person
1105	anyone entitled to recover on the bill or other document for any
1106	breach by the such other person persons or the performing by a
1107	connecting carrier of its obligation under the bill or other
1108	document. However, but to the extent that the bill or other
1109	document covers an undertaking to be performed overseas or in
1110	territory not contiguous to the continental United States or an
1111	undertaking including matters other than transportation, this
1112	liability for breach by the other person or the performing
1113	carrier may be varied by agreement of the parties.
1114	(2)  If Where goods covered by a through bill of lading or
1115	other document of title embodying an undertaking to be performed
1116	in part by a person persons other than the issuer are received
1117	by that any such person, the person he or she is subject, with
1118	respect to its his or her own performance while the goods are in
1119	its his or her possession, to the obligation of the issuer. The
1120	person's His or her obligation is discharged by delivery of the
1121	goods to another such person pursuant to the bill or other
1122	document, and does not include liability for breach by any other
1123	person such persons or by the issuer.
1124	(3)  The issuer of a such through bill of lading or other
1125	document of title described in subsection (1) is shall be
1126	entitled to recover from the performing connecting carrier, or
1127	such other person in possession of the goods when the breach of
1128	the obligation under the bill or other document occurred:,
1129	(a)  The amount it may be required to pay to any person
1130	anyone entitled to recover on the bill or other document for the
1131	breach therefor, as may be evidenced by any receipt, judgment,
1132	or transcript of judgment; thereof, and
1133	(b)  The amount of any expense reasonably incurred by the
1134	insurer it in defending any action commenced brought by any
1135	person anyone entitled to recover on the bill or other document
1136	for the breach therefor.
1137	Section 36.  Section 677.303, Florida Statutes, is amended
1138	to read:
1139	677.303  Diversion; reconsignment; change of instructions.-
1140	(1)  Unless the bill of lading otherwise provides, a the
1141	carrier may deliver the goods to a person or destination other
1142	than that stated in the bill or may otherwise dispose of the
1143	goods, without liability for misdelivery, on instructions from:
1144	(a)  The holder of a negotiable bill; or
1145	(b)  The consignor on a nonnegotiable bill, even if the
1146	consignee has given notwithstanding contrary instructions from
1147	the consignee; or
1148	(c)  The consignee on a nonnegotiable bill in the absence
1149	of contrary instructions from the consignor, if the goods have
1150	arrived at the billed destination or if the consignee is in
1151	possession of the tangible bill or in control of the electronic
1152	bill; or
1153	(d)  The consignee on a nonnegotiable bill, if the
1154	consignee he or she is entitled as against the consignor to
1155	dispose of the goods them.
1156	(2)  Unless such instructions described in subsection (1)
1157	are included in noted on a negotiable bill of lading, a person
1158	to which whom the bill is duly negotiated may can hold the
1159	bailee according to the original terms.
1160	Section 37.  Section 677.304, Florida Statutes, is amended
1161	to read:
1162	677.304  Tangible bills of lading in a set.-
1163	(1)  Except as where customary in international overseas
1164	transportation, a tangible bill of lading may must not be issued
1165	in a set of parts. The issuer is liable for damages caused by
1166	violation of this subsection.
1167	(2)  If Where a tangible bill of lading is lawfully issued
1168	drawn in a set of parts, each of which contains an
1169	identification code is numbered and is expressed to be valid
1170	only if the goods have not been delivered against any other
1171	part, the whole of the parts constitutes constitute one bill.
1172	(3)  If Where a tangible negotiable bill of lading is
1173	lawfully issued in a set of parts and different parts are
1174	negotiated to different persons, the title of the holder to
1175	which whom the first due negotiation is made prevails as to both
1176	the document of title and the goods even if though any later
1177	holder may have received the goods from the
1178	faith and discharged the carrier's obligation by
1179	its surrender of his or her part.
1180	(4)  A Any person that who negotiates or transfers a single
1181	part of a tangible bill of lading issued drawn in a set is
1182	liable to holders of that part as if it were the whole set.
1183	(5)  The bailee shall is obliged to deliver in accordance
1184	with part IV of this chapter against the first presented part of
1185	a tangible bill of lading lawfully drawn in a set. Such Delivery
1186	in this manner discharges the bailee's obligation on the whole
1187	bill.
1188	Section 38.  Section 677.305, Florida Statutes, is amended
1189	to read:
1190	677.305  Destination bills.-
1191	(1)  Instead of issuing a bill of lading to the consignor
1192	at the place of shipment, a carrier, may at the request of the
1193	consignor, may procure the bill to be issued at destination or
1194	at any other place designated in the request.
1195	(2)  Upon request of any person anyone entitled as against
1196	the carrier to control the goods while in transit and on
1197	surrender of possession or control of any outstanding bill of
1198	lading or other receipt covering such goods, the issuer, subject
1199	to s. 677.105, may procure a substitute bill to be issued at any
1200	place designated in the request.
1201	Section 39.  Section 677.307, Florida Statutes, is amended
1202	to read:
1203	677.307  Lien of carrier.-
1204	(1)  A carrier has a lien on the goods covered by a bill of
1205	lading or on the proceeds thereof in its possession for charges
1206	after subsequent to the date of the carrier's its receipt of the
1207	goods for storage or transportation, including demurrage and
1208	terminal charges, (including demurrage and terminal charges) and
1209	for expenses necessary for preservation of the goods incident to
1210	their transportation or reasonably incurred in their sale
1211	pursuant to law. However, But against a purchaser for value of a
1212	negotiable bill of lading, a carrier's lien is limited to
1213	charges stated in the bill or the applicable tariffs, or, if no
1214	charges are stated, then to a reasonable charge.
1215	(2)  A lien for charges and expenses under subsection (1)
1216	on goods that which the carrier was required by law to receive
1217	for transportation is effective against the consignor or any
1218	person entitled to the goods unless the carrier had notice that
1219	the consignor lacked authority to subject the goods to those
1220	such charges and expenses. Any other lien under subsection (1)
1221	is effective against the consignor and any person that who
1222	permitted the bailor to have control or possession of the goods
1223	unless the carrier had notice that the bailor lacked such
1224	authority.
1225	(3)  A carrier loses its his or her lien on any goods that
1226	it which the carrier voluntarily delivers or which he or she
1227	unjustifiably refuses to deliver.
1228	Section 40.  Section 677.308, Florida Statutes, is amended
1229	to read:
1230	677.308  Enforcement of carrier's lien.-
1231	(1)  A carrier's lien on goods may be enforced by public or
1232	private sale of the goods, in bulk block or in packages parcels,
1233	at any time or place and on any terms that which are
1234	commercially reasonable, after notifying all persons known to
1235	claim an interest in the goods. The Such notification shall must
1236	include a statement of the amount due, the nature of the
1237	proposed sale, and the time and place of any public sale. The
1238	fact that a better price could have been obtained by a sale at a
1239	different time or in a method different method from that
1240	selected by the carrier is not of itself sufficient to establish
1241	that the sale was not made in a commercially reasonable manner.
1242	If The carrier either sells the goods in a commercially
1243	reasonable the usual manner in any recognized market therefor or
1244	if the carrier he or she sells the goods in the usual manner in
1245	any recognized market therefor, sells at the price current in
1246	that such market at the time of the his or her sale, or if the
1247	carrier has otherwise sells sold in conformity with commercially
1248	reasonable practices among dealers in the type of goods sold he
1249	or she has sold in a commercially reasonable manner. A sale of
1250	more goods than apparently necessary to be offered to ensure
1251	satisfaction of the obligation is not commercially reasonable,
1252	except in cases covered by the preceding sentence.
1253	(2)  Before any sale pursuant to this section, any person
1254	claiming a right in the goods may pay the amount necessary to
1255	satisfy the lien and the reasonable expenses incurred in
1256	complying with under this section. In that event, the goods may
1257	must not be sold, but shall must be retained by the carrier,
1258	subject to the terms of the bill of lading and this chapter.
1259	(3)  The carrier may buy at any public sale pursuant to
1260	this section.
1261	(4)  A purchaser in good faith of goods sold to enforce a
1262	carrier's lien takes the goods free of any rights of persons
1263	against which whom the lien was valid, despite the carrier's
1264	noncompliance by the carrier with the requirements of this
1265	section.
1266	(5)  A The carrier may satisfy its his or her lien from the
1267	proceeds of any sale pursuant to this section but shall must
1268	hold the balance, if any, for delivery on demand to any person
1269	to which whom the carrier would have been bound to deliver the
1270	goods.
1271	(6)  The rights provided by this section are shall be in
1272	addition to all other rights allowed by law to a creditor
1273	against a his or her debtor.
1274	(7)  A carrier's lien may be enforced pursuant to in
1275	accordance with either subsection (1) or the procedure set forth
1276	in s. 677.210(2).
1277	(8)  A The carrier is liable for damages caused by failure
1278	to comply with the requirements for sale under this section and,
1279	in case of willful violation, is liable for conversion.
1280	Section 41.  Section 677.309, Florida Statutes, is amended
1281	to read:
1282	677.309  Duty of care; contractual limitation of carrier's
1283	liability.-
1284	(1)  A carrier that who issues a bill of lading, whether
1285	negotiable or nonnegotiable, shall must exercise the degree of
1286	care in relation to the goods which a reasonably careful person
1287	would exercise under similar like circumstances. This subsection
1288	does not affect repeal or change any statute, regulation, law or
1289	rule of law that which imposes liability upon a common carrier
1290	for damages not caused by its negligence.
1291	(2)  Damages may be limited by a term in the bill of lading
1292	or in a transportation agreement provision that the carrier's
1293	liability may shall not exceed a value stated in the bill or
1294	transportation agreement document if the carrier's rates are
1295	dependent upon value and the consignor by the carrier's tariff
1296	is afforded an opportunity to declare a higher value and the
1297	consignor or a value as lawfully provided in the tariff, or
1298	where no tariff is filed he or she is otherwise advised of the
1299	such opportunity. However,; but no such a limitation is not
1300	effective with respect to the carrier's liability for conversion
1301	to its own use.
1302	(3)  Reasonable provisions as to the time and manner of
1303	presenting claims and commencing instituting actions based on
1304	the shipment may be included in the bill of lading or a
1305	transportation agreement tariff.
1306	Section 42.  Section 677.401, Florida Statutes, is amended
1307	to read:
1308	677.401  Irregularities in issue of receipt or bill or
1309	conduct of issuer.-The obligations imposed by this chapter on an
1310	issuer apply to a document of title even if regardless of the
1311	fact that:
1312	(1)  The document does may not comply with the requirements
1313	of this chapter or of any other statute, rule of law, law or
1314	regulation regarding its issuance issue, form, or content; or
1315	(2)  The issuer may have violated laws regulating the
1316	conduct of its his or her business; or
1317	(3)  The goods covered by the document were owned by the
1318	bailee when at the time the document was issued; or
1319	(4)  The person issuing the document is not a warehouse but
1320	the document does not come within the definition of warehouseman
1321	if it purports to be a warehouse receipt.
1322	Section 43.  Section 677.402, Florida Statutes, is amended
1323	to read:
1324	677.402  Duplicate document of title receipt or bill;
1325	overissue.-Neither A duplicate or nor any other document of
1326	title purporting to cover goods already represented by an
1327	outstanding document of the same issuer does not confer confers
1328	any right in the goods, except as provided in the case of
1329	tangible bills of lading in a set of parts, overissue of
1330	documents for fungible goods, and substitutes for lost, stolen
1331	or destroyed documents, or substitute documents issued pursuant
1332	to s. 677.105. But The issuer is liable for damages caused by
1333	its his or her overissue or failure to identify a duplicate
1334	document as such by a conspicuous notation on its face.
1335	Section 44.  Section 677.403, Florida Statutes, is amended
1336	to read:
1337	677.403  Obligation of bailee warehouseman or carrier to
1338	deliver; excuse.-
1339	(1)  A The bailee shall must deliver the goods to a person
1340	entitled under a the document of title if the person who
1341	complies with subsections (2) and (3), unless and to the extent
1342	that the bailee establishes any of the following:
1343	(a)  Delivery of the goods to a person whose receipt was
1344	rightful as against the claimant;
1345	(b)  Damage to or delay, loss or destruction of the goods
1346	for which the bailee is not liable, but the burden of
1347	establishing negligence in such cases when value of such damage,
1348	delay, loss, or destruction exceeds $10,000 is on the person
1349	entitled under the document;.
1350	(c)  Previous sale or other disposition of the goods in
1351	lawful enforcement of a lien or on a warehouse's warehouseman's
1352	lawful termination of storage;
1353	(d)  The exercise by a seller of its his or her right to
1354	stop delivery pursuant to s. 672.705 or by a lessor of its right
1355	to stop delivery pursuant to s. 680.526 the provisions of the
1356	chapter on sales (s. 672.705);
1357	(e)  A diversion, reconsignment, or other disposition
1358	pursuant to s. 677.303 the provisions of this chapter (s.
1359	677.303) or tariff regulating such right;
1360	(f)  Release, satisfaction, or any other fact affording a
1361	personal defense against the claimant; or
1362	(g)  Any other lawful excuse.
1363	(2)  A person claiming goods covered by a document of title
1364	shall must satisfy the bailee's lien if where the bailee so
1365	requests or if where the bailee is prohibited by law from
1366	delivering the goods until the charges are paid.
1367	(3)  Unless a the person claiming the goods is a person one
1368	against which whom the document of title does not confer a
1369	confers no right under s. 677.503(1):,
1370	(a)  The person claiming under a document shall he or she
1371	must surrender possession or control of any outstanding
1372	negotiable document covering the goods for cancellation or
1373	indication of partial deliveries; and
1374	(b)  for cancellation or notation of partial deliveries any
1375	outstanding negotiable document covering the goods, and The
1376	bailee shall must cancel the document or conspicuously indicate
1377	in the document note the partial delivery thereon or the bailee
1378	is be liable to any person to which whom the document is duly
1379	negotiated.
1380	(4)  "Person entitled under the document" means holder in
1381	the case of a negotiable document, or the person to whom
1382	delivery is to be made by the terms of or pursuant to written
1383	instructions under a nonnegotiable document.
1384	Section 45.  Section 677.404, Florida Statutes, is amended
1385	to read:
1386	677.404  No liability for good faith delivery pursuant to
1387	document of title receipt or bill.-A bailee that who in good
1388	faith including observance of reasonable commercial standards
1389	has received goods and delivered or otherwise disposed of the
1390	goods them according to the terms of the document of title or
1391	pursuant to this chapter is not liable for the goods therefor.
1392	This rule applies even if:
1393	(1)  though The person from which the bailee whom he or she
1394	received the goods did not have had no authority to procure the
1395	document or to dispose of the goods; or
1396	(2)  The and even though the person to which the bailee
1397	whom he or she delivered the goods did not have had no authority
1398	to receive the goods them.
1399	Section 46.  Section 677.501, Florida Statutes, is amended
1400	to read:
1401	677.501  Form of negotiation and requirements of "due
1402	negotiation."-
1403	(1)  The following rules apply to a negotiable tangible
1404	document of title:
1405	(a)  If the document's original terms run running to the
1406	order of a named person, the document is negotiated by the named
1407	person's indorsement and delivery. After the named person's his
1408	or her indorsement in blank or to bearer, any person may can
1409	negotiate the document it by delivery alone.
1410	(b)  If the document's original
1411	(2)(a)  A negotiable document of title is also negotiated
1412	by delivery alone when by its original terms run it runs to
1413	bearer, it is negotiated by delivery alone.
1414	(c)  If the document's original terms run
1415	(b)  When a document running to the order of a named person
1416	and it is delivered to the named person, him or her the effect
1417	is the same as if the document had been negotiated.
1418	(d)(3)  Negotiation of the a negotiable document of title
1419	after it has been indorsed to a named specified person requires
1420	indorsement by the named person and special indorsee as well as
1421	delivery.
1422	(e)(4)  A negotiable document of title is duly negotiated
1423	if "duly negotiated" when it is negotiated in the manner stated
1424	in this subsection section to a holder that who purchases it in
1425	good faith, without notice of any defense against or claim to it
1426	on the part of any person, and for value, unless it is
1427	established that the negotiation is not in the regular course of
1428	business or financing or involves receiving the document in
1429	settlement or payment of a money obligation.
1430	(2)  The following rules apply to a negotiable electronic
1431	document of title:
1432	(a)  If the document's original terms run to the order of a
1433	named person or to bearer, the document is negotiated by
1434	delivery of the document to another person. Indorsement by the
1435	named person is not required to negotiate the document.
1436	(b)  If the document's original terms run to the order of a
1437	named person and the named person has control of the document,
1438	the effect is the same as if the document had been negotiated.
1439	(c)  A document is duly negotiated if it is negotiated in
1440	the manner stated in this subsection to a holder that purchases
1441	it in good faith, without notice of any defense against or claim
1442	to it on the part of any person, and for value, unless it is
1443	established that the negotiation is not in the regular course of
1444	business or financing or involves taking delivery of the
1445	document in settlement or payment of a monetary obligation.
1446	(3)(5)  Indorsement of a nonnegotiable document of title
1447	neither makes it negotiable nor adds to the transferee's rights.
1448	(4)(6)  The naming in a negotiable bill of lading of a
1449	person to be notified of the arrival of the goods does not limit
1450	the negotiability of the bill or nor constitute notice to a
1451	purchaser of the bill thereof of any interest of that such
1452	person in the goods.
1453	Section 47.  Section 677.502, Florida Statutes, is amended
1454	to read:
1455	677.502  Rights acquired by due negotiation.-
1456	(1)  Subject to ss. the following section and to the
1457	provisions of s. 677.205 and 677.503 on fungible goods, a
1458	to which whom a negotiable document of title has been duly
1459	negotiated acquires thereby:
1460	(a)  Title to the document;
1461	(b)  Title to the goods;
1462	(c)  All rights accruing under the law of agency or
1463	estoppel, including rights to goods delivered to the bailee
1464	after the document was issued; and
1465	(d)  The direct obligation of the issuer to hold or deliver
1466	the goods according to the terms of the document free of any
1467	defense or claim by the issuer him or her except those arising
1468	under the terms of the document or under this chapter, but. in
1469	the case of a delivery order, the bailee's obligation accrues
1470	only upon the bailee's acceptance of the delivery order and the
1471	obligation acquired by the holder is that the issuer and any
1472	indorser will procure the acceptance of the bailee.
1473	(2)  Subject to the following section, title and rights so
1474	acquired by due negotiation are not defeated by any stoppage of
1475	the goods represented by the document of title or by surrender
1476	of the such goods by the bailee, and are not impaired even if:
1477	(a)  though The due negotiation or any prior due
1478	negotiation constituted a breach of duty; or even though
1479	(b)  Any person has been deprived of possession of a
1480	negotiable tangible the document or control of a negotiable
1481	electronic document by misrepresentation, fraud, accident,
1482	mistake, duress, loss, theft, or conversion;, or even though
1483	(c)  A previous sale or other transfer of the goods or
1484	document has been made to a third person.
1485	Section 48.  Section 677.503, Florida Statutes, is amended
1486	to read:
1487	677.503  Document of title to goods defeated in certain
1488	cases.-
1489	(1)  A document of title confers no right in goods against
1490	a person that who before issuance of the document had a legal
1491	interest or a perfected security interest in the goods them and
1492	that did not who neither:
1493	(a)  Deliver or entrust the goods Delivered or entrusted
1494	them or any document of title covering the goods them to the
1495	bailor or the bailor's nominee with:
1496	1.  Actual or apparent authority to ship, store, or sell;
1497	or with
1498	2.  Power to obtain delivery under s. 677.403; this chapter
1499	(s. 677.403) or with
1500	3.  Power of disposition under s. 672.403, s. 680.304(2),
1501	s. 680.305(2), s. 679.320, or s. 679.321(3) this code (ss.
1502	672.403 and 679.320) or other statute or rule of law; or nor
1503	(b)(b)  Acquiesce Acquiesced in the procurement by the
1504	bailor or its the bailor's nominee of any document of title.
1505	(2)  Title to goods based upon an unaccepted delivery order
1506	is subject to the rights of any person anyone to which whom a
1507	negotiable warehouse receipt or bill of lading covering the
1508	goods has been duly negotiated. That Such a title may be
1509	defeated under the next section to the same extent as the rights
1510	of the issuer or a transferee from the issuer.
1511	(3)  Title to goods based upon a bill of lading issued to a
1512	freight forwarder is subject to the rights of any person anyone
1513	to which whom a bill issued by the freight forwarder is duly
1514	negotiated. However,; but delivery by the carrier in accordance
1515	with part IV of this chapter pursuant to its own bill of lading
1516	discharges the carrier's obligation to deliver.
1517	Section 49.  Section 677.504, Florida Statutes, is amended
1518	to read:
1519	677.504  Rights acquired in the absence of due negotiation;
1520	effect of diversion; seller's stoppage of delivery.-
1521	(1)  A transferee of a document of title, whether
1522	negotiable or nonnegotiable, to which whom the document has been
1523	delivered but not duly negotiated, acquires the title and rights
1524	that its which his or her transferor had or had actual authority
1525	to convey.
1526	(2)  In the case of a transfer of a nonnegotiable document
1527	of title, until but not after the bailee receives notice
1528	notification of the transfer, the rights of the transferee may
1529	be defeated:
1530	(a)  By those creditors of the transferor which who could
1531	treat the transfer sale as void under s. 672.402 or s. 680.308;
1532	or
1533	(b)  By a buyer from the transferor in ordinary course of
1534	business if the bailee has delivered the goods to the buyer or
1535	received notification of the buyer's his or her rights; or
1536	(c)  By a lessee from the transferor in ordinary course of
1537	business if the bailee has delivered the goods to the lessee or
1538	received notification of the lessee's rights; or
1539	(d)(c)  As against the bailee, by good-faith good faith
1540	dealings of the bailee with the transferor.
1541	(3)  A diversion or other change of shipping instructions
1542	by the consignor in a nonnegotiable bill of lading which causes
1543	the bailee not to deliver to the consignee defeats the
1544	consignee's title to the goods if the goods they have been
1545	delivered to a buyer or a lessee in ordinary course of business
1546	and, in any event, defeats the consignee's rights against the
1547	bailee.
1548	(4)  Delivery of the goods pursuant to a nonnegotiable
1549	document of title may be stopped by a seller under s. 672.705 or
1550	by a lessor under s. 680.526, and subject to the requirements
1551	requirement of due notification there provided. A bailee that
1552	honors honoring the seller's or lessor's instructions is
1553	entitled to be indemnified by the seller or lessor against any
1554	resulting loss or expense.
1555	Section 50.  Section 677.505, Florida Statutes, is amended
1556	to read:
1557	677.505  Indorser not a guarantor for other parties.-The
1558	indorsement of a tangible document of title issued by a bailee
1559	does not make the indorser liable for any default by the bailee
1560	or by previous indorsers.
1561	Section 51.  Section 677.506, Florida Statutes, is amended
1562	to read:
1563	677.506  Delivery without indorsement; right to compel
1564	indorsement.-The transferee of a negotiable tangible document of
1565	title has a specifically enforceable right to have its his or
1566	her transferor supply any necessary indorsement but the transfer
1567	becomes a negotiation only as of the time the indorsement is
1568	supplied.
1569	Section 52.  Section 677.507, Florida Statutes, is amended
1570	to read:
1571	677.507  Warranties on negotiation or delivery of document
1572	of title transfer of receipt or bill.-If Where a person
1573	negotiates or delivers transfers a document of title for value,
1574	otherwise than as a mere intermediary under the next following
1575	section, then unless otherwise agreed, the transferor, in
1576	addition to any warranty made in selling or leasing the goods,
1577	person warrants to its his or her immediate purchaser only that
1578	in addition to any warranty made in selling the goods:
1579	(1)  That The document is genuine; and
1580	(2)  The transferor does not have That he or she has no
1581	knowledge of any fact that which would impair the document's its
1582	validity or worth; and
1583	(3)  The That his or her negotiation or delivery transfer
1584	is rightful and fully effective with respect to the title to the
1585	document and the goods it represents.
1586	Section 53.  Section 677.508, Florida Statutes, is amended
1587	to read:
1588	677.508  Warranties of collecting bank as to documents of
1589	title.-A collecting bank or other intermediary known to be
1590	entrusted with documents of title on behalf of another or with
1591	collection of a draft or other claim against delivery of
1592	documents warrants by the such delivery of the documents only
1593	its own good faith and authority. This rule applies even if
1594	though the collecting bank or other intermediary has purchased
1595	or made advances against the claim or draft to be collected.
1596	Section 54.  Section 677.509, Florida Statutes, is amended
1597	to read:
1598	677.509  Receipt or bill; when Adequate compliance with
1599	commercial contract.-The question Whether a document of title is
1600	adequate to fulfill the obligations of a contract for sale, or
1601	the conditions of a letter of credit, or a contract for lease is
1602	determined governed by chapter 672, chapter 675, or chapter 680
1603	the chapters on sales (chapter 672) and on letters of credit
1604	(chapter 675).
1605	Section 55.  Section 677.601, Florida Statutes, is amended
1606	to read:
1607	677.601  Lost, stolen, or destroyed and missing documents
1608	of title.-
1609	(1)  If a document of title is has been lost, stolen, or
1610	destroyed, a court may order delivery of the goods or issuance
1611	of a substitute document and the bailee may without liability to
1612	any person comply with the such order. If the document was
1613	negotiable, a court may not order delivery of the goods or the
1614	issuance of a substitute document without the claimant's posting
1615	claimant must post security unless it finds that approved by the
1616	court to indemnify any person that who may suffer loss as a
1617	result of nonsurrender of possession or control of the document
1618	is adequately protected against the loss. If the document was
1619	nonnegotiable not negotiable, the court such security may
1620	require security be required at the discretion of the court. The
1621	court may also in its discretion order payment of the bailee's
1622	reasonable costs and attorney's counsel fees in any action under
1623	this subsection.
1624	(2)  A bailee that, who without a court order, delivers
1625	goods to a person claiming under a missing negotiable document
1626	of title is liable to any person injured thereby., and If the
1627	delivery is not in good faith, the bailee is becomes liable for
1628	conversion. Delivery in good faith is not conversion if made in
1629	accordance with a filed classification or tariff or, where no
1630	classification or tariff is filed, if the claimant posts
1631	security with the bailee in an amount at least double the value
1632	of the goods at the time of posting to indemnify any person
1633	injured by the delivery which who files a notice of claim within
1634	1 year after the delivery.
1635	Section 56.  Section 677.602, Florida Statutes, is amended
1636	to read:
1637	677.602  Judicial process against Attachment of goods
1638	covered by a negotiable document of title.-Unless a Except where
1639	the document of title was originally issued upon delivery of the
1640	goods by a person that did not have who had no power to dispose
1641	of them, a no lien does not attach attaches by virtue of any
1642	judicial process to goods in the possession of a bailee for
1643	which a negotiable document of title is outstanding unless
1644	possession or control of the document is be first surrendered to
1645	the bailee or the document's its negotiation is enjoined., and
1646	The bailee may shall not be compelled to deliver the goods
1647	pursuant to process until possession or control of the document
1648	is surrendered to the bailee or to him or her or impounded by
1649	the court. A purchaser of One who purchases the document for
1650	value without notice of the process or injunction takes free of
1651	the lien imposed by judicial process.
1652	Section 57.  Section 677.603, Florida Statutes, is amended
1653	to read:
1654	677.603  Conflicting claims; interpleader.-If more than one
1655	person claims title to or possession of the goods, the bailee is
1656	excused from delivery until the bailee he or she has had a
1657	reasonable time to ascertain the validity of the adverse claims
1658	or to commence bring an action for to compel all claimants to
1659	interplead and may compel such interpleader. The bailee may
1660	assert an interpleader, either in defending an action for
1661	nondelivery of the goods, or by original action, whichever is
1662	appropriate.
1663	Section 58.  Subsection (7) is added to section 678.1031,
1664	Florida Statutes, to read:
1665	678.1031  Rules for determining whether certain obligations
1666	and interests are securities or financial assets.-
1667	(7)  A document of title is not a financial asset unless s.
1668	678.1021(1)(i)2. applies.
1669	Section 59.  Subsection (2) of section 679.1021, Florida
1670	Statutes, is amended to read:
1671	679.1021  Definitions and index of definitions.-
1672	(2)  The following definitions in other chapters apply to
1673	this chapter:
1674	"Applicant"     s. 675.103.
1675	"Beneficiary"     s. 675.103.
1676	"Broker"     s. 678.1021.
1677	"Certificated security"     s. 678.1021.
1678	"Check"     s. 673.1041.
1679	"Clearing corporation"     s. 678.1021.
1680	"Contract for sale"     s. 672.106.
1681	"Control"      s. 677.106.
1682	"Customer"     s. 674.104.
1683	"Entitlement holder"     s. 678.1021.
1684	"Financial asset"     s. 678.1021.
1685	"Holder in due course"     s. 673.3021.
1686	"Issuer" (with respect to a letter of credit
1687	or letter-of-credit right)     s. 675.103.
1688	"Issuer" (with respect to a security)     s. 678.2011.
1689	"Issuer" (with respect to documents of title)     s.
1690	677.102.
1691	"Lease"     s. 680.1031.
1692	"Lease agreement"     s. 680.1031.
1693	"Lease contract"     s. 680.1031.
1694	"Leasehold interest"     s. 680.1031.
1695	"Lessee"     s. 680.1031.
1696	"Lessee in ordinary course of
1697	business"     s. 680.1031.
1698	"Lessor"     s. 680.1031.
1699	"Lessor's residual interest"     s. 680.1031.
1700	"Letter of credit"     s. 675.103.
1701	"Merchant"     s. 672.104.
1702	"Negotiable instrument"     s. 673.1041.
1703	"Nominated person"     s. 675.103.
1704	"Note"     s. 673.1041.
1705	"Proceeds of a letter of credit"     s. 675.114.
1706	"Prove"     s. 673.1031.
1707	"Sale"     s. 672.106.
1708	"Securities account"     s. 678.5011.
1709	"Securities intermediary"     s. 678.1021.
1710	"Security"     s. 678.1021.
1711	"Security certificate"     s. 678.1021.
1712	"Security entitlement"     s. 678.1021.
1713	"Uncertificated security"     s. 678.1021.
1714	Section 60.  Subsection (2) of section 679.2031, Florida
1715	Statutes, is amended to read:
1716	679.2031  Attachment and enforceability of security
1717	interest; proceeds; supporting obligations; formal requisites.-
1718	(2)  Except as otherwise provided in subsections (3)
1719	through (10), a security interest is enforceable against the
1720	debtor and third parties with respect to the collateral only if:
1721	(a)  Value has been given;
1722	(b)  The debtor has rights in the collateral or the power
1723	to transfer rights in the collateral to a secured party; and
1724	(c)  One of the following conditions is met:
1725	1.  The debtor has authenticated a security agreement that
1726	provides a description of the collateral and, if the security
1727	interest covers timber to be cut, a description of the land
1728	concerned;
1729	2.  The collateral is not a certificated security and is in
1730	the possession of the secured party under s. 679.3131 pursuant
1731	to the debtor's security agreement;
1732	3.  The collateral is a certificated security in registered
1733	form and the security certificate has been delivered to the
1734	secured party under s. 678.3011 pursuant to the debtor's
1735	security agreement; or
1736	4.  The collateral is deposit accounts, electronic chattel
1737	paper, investment property, or letter-of-credit rights, or
1738	electronic documents, and the secured party has control under s.
1739	677.106, s. 679.1041, s. 679.1051, s. 679.1061, or s. 679.1071
1740	pursuant to the debtor's security agreement.
1741	Section 61.  Subsection (3) of section 679.2071, Florida
1742	Statutes, is amended to read:
1743	679.2071  Rights and duties of secured party having
1744	possession or control of collateral.-
1745	(3)  Except as otherwise provided in subsection (4), a
1746	secured party having possession of collateral or control of
1747	collateral under s. 677.106, s. 679.1041, s. 679.1051, s.
1748	679.1061, or s. 679.1071:
1749	(a)  May hold as additional security any proceeds, except
1750	money or funds, received from the collateral;
1751	(b)  Shall apply money or funds received from the
1752	collateral to reduce the secured obligation, unless remitted to
1753	the debtor; and
1754	(c)  May create a security interest in the collateral.
1755	Section 62.  Subsection (2) of section 679.2081, Florida
1756	Statutes, is amended to read:
1757	679.2081  Additional duties of secured party having control
1758	of collateral.-
1759	(2)  Within 10 days after receiving an authenticated demand
1760	by the debtor:
1761	(a)  A secured party having control of a deposit account
1762	under s. 679.1041(1)(b) shall send to the bank with which the
1763	deposit account is maintained an authenticated statement that
1764	releases the bank from any further obligation to comply with
1765	instructions originated by the secured party;
1766	(b)  A secured party having control of a deposit account
1767	under s. 679.1041(1)(c) shall:
1768	1.  Pay the debtor the balance on deposit in the deposit
1769	account; or
1770	2.  Transfer the balance on deposit into a deposit account
1771	in the debtor's name;
1772	(c)  A secured party, other than a buyer, having control of
1773	electronic chattel paper under s. 679.1051 shall:
1774	1.  Communicate the authoritative copy of the electronic
1775	chattel paper to the debtor or its designated custodian;
1776	2.  If the debtor designates a custodian that is the
1777	designated custodian with which the authoritative copy of the
1778	electronic chattel paper is maintained for the secured party,
1779	communicate to the custodian an authenticated record releasing
1780	the designated custodian from any further obligation to comply
1781	with instructions originated by the secured party and
1782	instructing the custodian to comply with instructions originated
1783	by the debtor; and
1784	3.  Take appropriate action to enable the debtor or the
1785	debtor's designated custodian to make copies of or revisions to
1786	the authoritative copy which add or change an identified
1787	assignee of the authoritative copy without the consent of the
1788	secured party;
1789	(d)  A secured party having control of investment property
1790	under s. 678.1061(4)(b) or s. 679.1061(2) shall send to the
1791	securities intermediary or commodity intermediary with which the
1792	security entitlement or commodity contract is maintained an
1793	authenticated record that releases the securities intermediary
1794	or commodity intermediary from any further obligation to comply
1795	with entitlement orders or directions originated by the secured
1796	party; and
1797	(e)  A secured party having control of a letter-of-credit
1798	right under s. 679.1071 shall send to each person having an
1799	unfulfilled obligation to pay or deliver proceeds of the letter
1800	of credit to the secured party an authenticated release from any
1801	further obligation to pay or deliver proceeds of the letter of
1802	credit to the secured party; and.
1803	(f)  A secured party having control of an electronic
1804	document shall:
1805	1.  Give control of the electronic document to the debtor
1806	or its designated custodian;
1807	2.  If the debtor designates a custodian that is the
1808	designated custodian with which the authoritative copy of the
1809	electronic document is maintained for the secured party,
1810	communicate to the custodian an authenticated record releasing
1811	the designated custodian from any further obligation to comply
1812	with instructions originated by the secured party and
1813	instructing the custodian to comply with instructions originated
1814	by the debtor; and
1815	3.  Take appropriate action to enable the debtor or its
1816	designated custodian to make copies of or revisions to the
1817	authenticated copy which add or change an identified assignee of
1818	the authoritative copy without the consent of the secured party.
1819	Section 63.  Subsection (3) of section 679.3011, Florida
1820	Statutes, is amended to read:
1821	679.3011  Law governing perfection and priority of security
1822	interests.-Except as otherwise provided in ss. 679.1091,
1823	679.3031, 679.3041, 679.3051, and 679.3061, the following rules
1824	determine the law governing perfection, the effect of perfection
1825	or nonperfection, and the priority of a security interest in
1826	collateral:
1827	(3)  Except as otherwise provided in subsections (4) and
1828	(5), while tangible negotiable documents, goods, instruments,
1829	money, or tangible chattel paper is located in a jurisdiction,
1830	the local law of that jurisdiction governs:
1831	(a)  Perfection of a security interest in the goods by
1832	filing a fixture filing;
1833	(b)  Perfection of a security interest in timber to be cut;
1834	and
1835	(c)  The effect of perfection or nonperfection and the
1836	priority of a nonpossessory security interest in the collateral.
1837	Section 64.  Subsection (2) of section 679.3101, Florida
1838	Statutes, is amended to read:
1839	679.3101  When filing required to perfect security interest
1840	or agricultural lien; security interests and agricultural liens
1841	to which filing provisions do not apply.-
1842	(2)  The filing of a financing statement is not necessary
1843	to perfect a security interest:
1844	(a)  That is perfected under s. 679.3081(4), (5), (6), or
1845	(7);
1846	(b)  That is perfected under s. 679.3091 when it attaches;
1847	(c)  In property subject to a statute, regulation, or
1848	treaty described in s. 679.3111(1);
1849	(d)  In goods in possession of a bailee which is perfected
1850	under s. 679.3121(4)(a) or (b);
1851	(e)  In certificated securities, documents, goods, or
1852	instruments which is perfected without filing, control, or
1853	possession under s. 679.3121(5), (6), or (7);
1854	(f)  In collateral in the secured party's possession under
1855	s. 679.3131;
1856	(g)  In a certificated security which is perfected by
1857	delivery of the security certificate to the secured party under
1858	s. 679.3131;
1859	(h)  In deposit accounts, electronic chattel paper,
1860	electronic documents, investment property, or letter-of-credit
1861	rights which is perfected by control under s. 679.3141;
1862	(i)  In proceeds which is perfected under s. 679.3151; or
1863	(j)  That is perfected under s. 679.3161.
1864	Section 65.  Subsection (5) of section 679.3121, Florida
1865	Statutes, is amended to read:
1866	679.3121  Perfection of security interests in chattel
1867	paper, deposit accounts, documents, goods covered by documents,
1868	instruments, investment property, letter-of-credit rights, and
1869	money; perfection by permissive filing; temporary perfection
1870	without filing or transfer of possession.-
1871	(5)  A security interest in certificated securities,
1872	negotiable documents, or instruments is perfected without filing
1873	or the taking of possession or control for a period of 20 days
1874	from the time it attaches to the extent that it arises for new
1875	value given under an authenticated security agreement.
1876	Section 66.  Subsection (1) of section 679.3131, Florida
1877	Statutes, is amended to read:
1878	679.3131  When possession by or delivery to secured party
1879	perfects security interest without filing.-
1880	(1)  Except as otherwise provided in subsection (2), a
1881	secured party may perfect a security interest in tangible
1882	negotiable documents, goods, instruments, money, or tangible
1883	chattel paper by taking possession of the collateral. A secured
1884	party may perfect a security interest in certificated securities
1885	by taking delivery of the certificated securities under s.
1886	678.3011.
1887	Section 67.  Subsections (1) and (2) of section 679.3141,
1888	Florida Statutes, are amended to read:
1889	679.3141  Perfection by control.-
1890	(1)  A security interest in investment property, deposit
1891	accounts, letter-of-credit rights, or electronic chattel paper,
1892	or electronic documents may be perfected by control of the
1893	collateral under s. 677.106, s. 679.1041, s. 679.1051, s.
1894	679.1061, or s. 679.1071.
1895	(2)  A security interest in deposit accounts, electronic
1896	chattel paper, or letter-of-credit rights, or electronic
1897	documents is perfected by control under s. 677.106, s. 679.1041,
1898	s. 679.1051, or s. 679.1071 when the secured party obtains
1899	control and remains perfected by control only while the secured
1900	party retains control.
1901	Section 68.  Subsections (2) and (4) of section 679.3171,
1902	Florida Statutes, are amended to read:
1903	679.3171  Interests that take priority over or take free of
1904	security interest or agricultural lien.-
1905	(2)  Except as otherwise provided in subsection (5), a
1906	buyer, other than a secured party, of tangible chattel paper,
1907	tangible documents, goods, instruments, or a security
1908	certificate takes free of a security interest or agricultural
1909	lien if the buyer gives value and receives delivery of the
1910	collateral without knowledge of the security interest or
1911	agricultural lien and before it is perfected.
1912	(4)  A licensee of a general intangible or a buyer, other
1913	than a secured party, of accounts, electronic chattel paper,
1914	electronic documents, general intangibles, or investment
1915	property other than a certificated security takes free of a
1916	security interest if the licensee or buyer gives value without
1917	knowledge of the security interest and before it is perfected.
1918	Section 69.  Subsection (2) of section 679.338, Florida
1919	Statutes, is amended to read:
1920	679.338  Priority of security interest or agricultural lien
1921	perfected by filed financing statement providing certain
1922	incorrect information.-If a security interest or agricultural
1923	lien is perfected by a filed financing statement providing
1924	information described in s. 679.516(2)(d) which is incorrect at
1925	the time the financing statement is filed:
1926	(2)  A purchaser, other than a secured party, of the
1927	collateral takes free of the security interest or agricultural
1928	lien to the extent that, in reasonable reliance upon the
1929	incorrect information, the purchaser gives value and, in the
1930	case of tangible chattel paper, tangible documents, goods,
1931	instruments, or a security certificate, receives delivery of the
1932	collateral.
1933	Section 70.  Paragraphs (a) and (o) of subsection (1) of
1934	section 680.1031, Florida Statutes, are amended to read:
1935	680.1031  Definitions and index of definitions.-
1936	(1)  In this chapter, unless the context otherwise
1937	requires:
1938	(a)  "Buyer in ordinary course of business" means a person
1939	who in good faith and without knowledge that the sale to him or
1940	her is in violation of the ownership rights or security interest
1941	or leasehold interest of a third party in the goods buys in
1942	ordinary course from a person in the business of selling goods
1943	of that kind but does not include a pawnbroker. Buying may be
1944	for cash or by exchange of other property or on secured or
1945	unsecured credit and includes acquiring receiving goods or
1946	documents of title under a preexisting contract for sale but
1947	does not include a transfer in bulk or as security for or in
1948	total or partial satisfaction of a money debt.
1949	(o)  "Lessee in ordinary course of business" means a person
1950	who in good faith and without knowledge that the lease to him or
1951	her is in violation of the ownership rights or security interest
1952	or leasehold interest of a third party in the goods leases in
1953	ordinary course from a person in the business of selling or
1954	leasing goods of that kind but does not include a pawnbroker.
1955	Leasing may be for cash or by exchange of other property or on
1956	secured or unsecured credit and includes acquiring receiving
1957	goods or documents of title under a preexisting lease contract
1958	but does not include a transfer in bulk or as security for or in
1959	total or partial satisfaction of a money debt.
1960	Section 71.  Subsection (2) of section 680.514, Florida
1961	Statutes, is amended to read:
1962	680.514  Waiver of lessee's objections.-
1963	(2)  A lessee's failure to reserve rights when paying rent
1964	or other consideration against documents precludes recovery of
1965	the payment for defects apparent in on the face of the
1966	documents.
1967	Section 72.  Subsection (2) of section 680.526, Florida
1968	Statutes, is amended to read:
1969	680.526  Lessor's stoppage of delivery in transit or
1970	otherwise.-
1971	(2)  In pursuing her or his remedies under subsection (1),
1972	the lessor may stop delivery until:
1973	(a)  Receipt of the goods by the lessee;
1974	(b)  Acknowledgment to the lessee by any bailee of the
1975	goods, except a carrier, that the bailee holds the goods for the
1976	lessee; or
1977	(c)  Such an acknowledgment to the lessee by a carrier via
1978	reshipment or as a warehouse warehouseman.
1979	Section 73.  This act shall take effect July 1, 2010.

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