PRIOR PRINTER'S NO. 1198                       PRINTER'S NO. 2355

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1079 Session of 1981


        INTRODUCED BY GANNON, ARTY, ALDEN, CIVERA, DURHAM, MICOZZIE,
           MARMION, PERZEL, FRAZIER, WOGAN AND RASCO, MARCH 31, 1981

        AS REPORTED FROM COMMITTEE ON BUSINESS AND COMMERCE, HOUSE OF
           REPRESENTATIVES, AS AMENDED, OCTOBER 14, 1981

                                     AN ACT

     1  Regulating self-service storage and providing for owners' liens
     2     and the enforcement thereof.

     3     In recognition of the fact that the self-service storage
     4  industry is a recent and useful addition to the economy of the
     5  Commonwealth of Pennsylvania and that it is in the public
     6  interest to make such facilities broadly accessible, it shall be
     7  the public policy of this Commonwealth to enhance broad
     8  accessibility by the public to self-service storage facilities
     9  by providing a simple but fair procedure for the enforcement of
    10  rights in the event of default by providing a lien on all
    11  personal property stored at such facilities in favor of the
    12  owners thereof.
    13                         TABLE OF CONTENTS
    14  Section  1.  Short title.
    15  Section  2.  Definitions.
    16  Section  3.  Access.
    17  Section  4.  Owner's lien.

     1  Section  5.  Enforcement of lien.
     2  Section  6.  Notice.
     3  Section  7.  Advertisement of sale.
     4  Section  8.  Location of sale.
     5  Section  9.  Payment and satisfaction.
     6  Section 10.  Conformance with notice.
     7  Section 11.  Title to goods purchased.
     8  Section 12.  Right of owner to purchase.
     9  Section 13.  Excess balance from sale.
    10  Section 14.  Care, custody and control.
    11  Section 15.  Construction of act.
    12  Section 16.  Savings clause.
    13  Section 17.  Effective date.
    14     The General Assembly of the Commonwealth of Pennsylvania
    15  hereby enacts as follows:
    16  Section 1.  Short title.
    17     This act shall be known and may be cited as the "Self-service
    18  Storage Facility Act."
    19     Section 2.  Definitions.
    20     The following words and phrases when used in this act shall
    21  have, unless the context clearly indicates otherwise, the
    22  meanings given to them in this section:
    23     "Default."  The failure timely to perform any obligation or
    24  duty set forth in this act or the rental agreement.
    25     "Last known address."  That address provided by the occupant
    26  in the latest rental agreement or the address provided by the
    27  occupant in a subsequent written notice of a change of address.
    28     "Leased space."  The individual storage space at the self-
    29  service storage facility which is leased or rented to an
    30  occupant pursuant to a rental agreement.
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     1     "Occupant."  A person, his sublessee, successor or assign,
     2  entitled to the use of leased space at a self-service storage
     3  facility under a rental agreement, to the exclusion of others.
     4     "Owner."  The owner, operator, lessor or sublessor of a self-
     5  service storage facility, his agent or any person authorized by
     6  him to manage the facility or to receive rent from an occupant
     7  under a rental agreement or any of his employee's. An owner is
     8  not a warehouseman as defined in 13 Pa.C.S. § 7102 (relating to
     9  definitions and index of definitions). If, however, an owner
    10  shall issue any warehouse receipt, bill of lading or other
    11  document of title for the personal property stored, the owner
    12  and occupant shall be subject to 13 Pa.C.S. Div. 7 (relating to
    13  warehouse receipts, bills of lading and other documents of
    14  title) and this act shall not apply.
    15     "Personal property."  Movable property not affixed to land
    16  and includes, but is not limited to, goods, wares, merchandise,
    17  furniture and household items.
    18     "Rental agreement."  Any written agreement or lease, that
    19  establishes or modifies the terms, conditions, rules or other
    20  provisions concerning the use and occupancy of a self-service
    21  storage facility.
    22     "Self-service storage facility."  Any real property designed
    23  and used for the purpose of renting or leasing individual
    24  storage space to occupants who are to have access to such space
    25  for the purpose of storing and removing personal property. No
    26  occupant shall use a self-service storage facility for
    27  residential purposes.
    28  Section 3.  Access.
    29     (a)  General rule.--Upon the reasonable request of the owner,
    30  the occupant shall provide access to the owner to enter the
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     1  leased space for the purposes of inspection, repair, alteration,
     2  improvement or to supply necessary or agreed services. In case
     3  of emergency, the owner may enter the leased space for any of
     4  the above stated purposes without notice to or consent from the
     5  occupant.
     6     (b)  Definition.--As used in this section "emergency" shall
     7  mean any sudden, unexpected occurrence or circumstance which
     8  demands immediate action.
     9  Section 4.  Owner's lien.
    10     The owner of a self-service storage facility and his heirs,
    11  executors, administrators, successors and assigns shall have a
    12  lien upon all personal property, while located at a self-service
    13  storage facility, for rent, labor or other charges, present or
    14  future, incurred for storing said property, and for expenses
    15  necessary for its preservation or expenses reasonably incurred
    16  in its sale or other disposition pursuant to this act. The lien
    17  provided for in this section is superior to any other lien or
    18  security interest; HOWEVER ANY LIEN EXISTING PRIOR TO THE DATE    <--
    19  THE PERSONAL PROPERTY WAS PLACED AT THE SELF-STORAGE FACILITY
    20  SUPERSEDES ANY LIEN OF THE OWNER. The lien attaches as of the
    21  date the personal property is placed at the self-service
    22  facility and the rental agreement shall contain a statement in
    23  bold type notifying the occupant of the existence of the lien.
    24  Section 5.  Enforcement of lien.
    25     (a)  Default.--No enforcement action shall be taken by the
    26  owner until the occupant has been in default continuously for a
    27  period of 15 30 days.                                             <--
    28     (b)  Rights of owner.--After the occupant has been in default
    29  continuously for a period of 15 30 days, the owner shall have     <--
    30  the right to deny the occupant's access to the leased space. The
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     1  owner may also enter and remove the personal property from the
     2  leased space to another suitable storage space pending its sale
     3  or other disposition.
     4  Section 6.  Notice.
     5     (a)  Service.--The owner shall give written notice of the
     6  default and any other action taken in regard to the occupant's
     7  property, to the occupant by personal service or by certified
     8  mail, return receipt requested, sent to the occupant's last
     9  known address. A notice shall be presumed to be served when it
    10  is deposited with the United States Postal Service and properly
    11  addressed with postage prepaid.
    12     (b)  Contents.--The notice shall contain the following:
    13         (1)  An itemized statement of the owner's claim showing
    14     the sum due at the time of the notice and the date when the
    15     sum became due.
    16         (2)  A demand for payment of the sum due within a
    17     specified time not less than 30 days after the date of
    18     notice.
    19         (3)  A statement that the contents of the occupant's
    20     leased space are subject to the owner's lien.
    21         (4)  The name, street address and telephone number of the
    22     owner or his designated agent who the occupant may contact to
    23     respond to the notice.
    24         (5)  A conspicuous statement in bold print that unless
    25     the claim is paid within the time and at the place stated,
    26     the personal property will be advertised for sale or will be
    27     otherwise disposed of at a specified time and place, not less
    28     than 30 days after the date of the notice.
    29     (c)  Notice of denial of space, entry or removal.--If the
    30  owner elects to deny the occupant access to the leased space or
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     1  elects to enter and/or remove the occupant's personal property
     2  from the leased space to other suitable storage space, a
     3  statement so advising the occupant shall be included in the
     4  notice.
     5  Section 7.  Advertisement of sale.
     6     (a)  Publication.--After the expiration of the time stated in
     7  the notice and if the personal property has not otherwise been
     8  disposed of, the owner shall cause an advertisement of sale to
     9  be published two times preceding the date of sale in a newspaper
    10  of general circulation which serves the area where the self-
    11  service storage facility is located. The advertisement shall
    12  include:
    13         (1)  A statement that the contents of the occupant's
    14     leased space shall be sold to satisfy the owner's lien.
    15         (2)  The address of the self-service storage facility and
    16     the number or other description, if any, of the space where
    17     the personal property is located and the name of the
    18     occupant.
    19         (3)  The time, place and manner of sale.
    20     (b)  Posting of sale notice.--If there is no newspaper of
    21  general circulation where the self-service storage facility is
    22  located, the owner shall post written advertisements containing
    23  all of the required information at least ten days before the
    24  date of the sale in not less than six conspicuous places in the
    25  neighborhood where the self-service storage facility is located.
    26     (c)  Time of sale.--The sale shall take place no sooner than
    27  ten days after the first publication or posting.
    28  Section 8.  Location of sale.
    29     Any sale or other disposition of the personal property shall
    30  be held at the self-service storage facility or at the nearest
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     1  suitable place to where the personal property is held or stored.
     2  Section 9.  Payment and satisfaction.
     3     Before any sale or other disposition of personal property,
     4  the occupant may pay the amount necessary to satisfy the owner's
     5  lien and other reasonable expenses incurred hereunder and
     6  thereby redeem the personal property. Upon the payment and
     7  satisfaction of the amount necessary to satisfy the owner's lien
     8  and the reasonable expenses incurred, the owner shall return the
     9  personal property and the owner shall thereafter have no
    10  liability to any person with respect to such personal property.
    11  Section 10.  Conformance with notice.
    12     (a)  Conformance with terms.--Any sale or other disposition
    13  of the personal property shall conform to the terms of the
    14  notification as provided for in this section.
    15     (b)  Nonconsummated sale.--If the personal property is
    16  advertised for sale and the sale is not consummated, the owner
    17  shall give written notice to the occupant of other disposition
    18  of the personal property.
    19  Section 11.  Title to goods purchased.
    20     A purchaser in good faith of the personal property sold to
    21  satisfy the owner's lien takes the property free of any rights
    22  of persons against whom the lien was valid, despite
    23  noncompliance by the owner with the requirements of this
    24  section.
    25  Section 12.  Right of owner to purchase.
    26     The owner may buy at any sale of personal property to enforce
    27  the owner's lien.
    28  Section 13.  Excess balance from sale.
    29     In the event of a sale under this section, the owner may
    30  satisfy his lien from the proceeds of the sale but shall hold
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     1  the balance, if any, for delivery on demand to the occupant. If
     2  the occupant does not claim the balance of the proceeds within
     3  six months of the date of the sale, such balance shall be deemed
     4  to be abandoned and the owner shall pay such balance to the
     5  Secretary of the Commonwealth who shall receive, hold and
     6  dispose of same in accordance with the act of August 9, 1971
     7  (P.L.286, No.74), known as the "Disposition of Abandoned and
     8  Unclaimed Property Act."
     9  Section 14.  Care, custody and control.
    10     Unless the rental agreement specifically provides otherwise,
    11  the exclusive care, custody and control of any and all personal
    12  property stored in the leased space shall remain vested in the
    13  occupant, who shall bear all risks of loss or damage to such
    14  property not caused by any negligence of the owner.
    15  Section 15.  Construction of act.
    16     Nothing in this act shall be construed as in any manner
    17  impairing or affecting the right of the parties to create
    18  additional rights, duties and obligations in and by virtue of
    19  the rental agreement. The rights provided by this act shall be
    20  in addition to all other rights allowed by law to a creditor
    21  against his debtor.
    22  Section 16.  Savings clause.
    23     All rental agreements entered into before the effective date
    24  of this act, and not extended or renewed after that date, and
    25  the rights and duties and interests flowing from them shall
    26  remain valid, and may be enforced or terminated in accordance
    27  with their terms or as permitted by any other statute or law of
    28  this Commonwealth.
    29  Section 17.  Effective date.
    30     This act shall take effect in 60 days and shall apply to all
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     1  rental agreements executed or renewed on and after that date.




















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