Part 4 - Warehouse Receipts and Bills of Lading: General Obligations - Illinois Statutes

 
    (810 ILCS 5/Art. 7 Pt. 4 heading)PART 4 WAREHOUSE RECEIPTS AND BILLS OF LADING: GENERAL OBLIGATIONS (Source: P.A. 95‑895, eff. 1‑1‑09.)

    (810 ILCS 5/7‑401)(from Ch. 26, par. 7‑401)
    Sec. 7‑401. Irregularities in issue of receipt or bill or conduct of issuer. The obligations imposed by this Article on an issuer apply to a document of title even if:
        (1) the document does not comply with the

requirements of this Article or of any other statute, rule, or regulation regarding its issuance, form, or content;

(2) the issuer violated laws regulating the conduct

of its business;

(3) the goods covered by the document were owned by

the bailee when the document was issued; or

(4) the person issuing the document is not a

warehouse but the document purports to be a warehouse receipt.

(Source: P.A. 95‑895, eff. 1‑1‑09.)

    (810 ILCS 5/7‑402)(from Ch. 26, par. 7‑402)
    Sec. 7‑402. Duplicate document of title; overissue. A duplicate or any other document of title purporting to cover goods already represented by an outstanding document of the same issuer does not confer any right in the goods, except as provided in the case of tangible bills of lading in a set of parts, overissue of documents for fungible goods, substitutes for lost, stolen, or destroyed documents, or substitute documents issued pursuant to Section 7‑105. The issuer is liable for damages caused by its overissue or failure to identify a duplicate document by a conspicuous notation.
(Source: P.A. 95‑895, eff. 1‑1‑09.)

    (810 ILCS 5/7‑403)(from Ch. 26, par. 7‑403)
    Sec. 7‑403. Obligation of bailee to deliver; excuse.
    (a) A bailee shall deliver the goods to a person entitled under a document of title if the person complies with subsections (b) and (c), unless and to the extent that the bailee establishes any of the following:
        (1) delivery of the goods to a person whose receipt

was rightful as against the claimant;

(2) damage to or delay, loss, or destruction of the

goods for which the bailee is not liable;

(3) previous sale or other disposition of the goods

in lawful enforcement of a lien or on a warehouse's lawful termination of storage;

(4) the exercise by a seller of its right to stop

delivery pursuant to Section 2‑705 or by a lessor of its right to stop delivery pursuant to Section 2A‑526;

(5) a diversion, reconsignment, or other disposition

pursuant to Section 7‑303;

(6) release, satisfaction, or any other personal

defense against the claimant; or

(7) any other lawful excuse.     (b) A person claiming goods covered by a document of

title shall satisfy the bailee's lien if the bailee so requests or if the bailee is prohibited by law from delivering the goods until the charges are paid.

(c) Unless a person claiming the goods is a person

against which the document of title does not confer a right under Section 7‑503(a):

(1) the person claiming under a document shall

surrender possession or control of any outstanding negotiable document covering the goods for cancellation or indication of partial deliveries; and

(2) the bailee shall cancel the document or

conspicuously indicate in the document the partial delivery or the bailee is liable to any person to which the document is duly negotiated.

(Source: P.A. 95‑895, eff. 1‑1‑09.)

    (810 ILCS 5/7‑404)(from Ch. 26, par. 7‑404)
    Sec. 7‑404. No liability for good‑faith delivery pursuant to document of title. A bailee that in good faith has received goods and delivered or otherwise disposed of the goods according to the terms of a document of title or pursuant to this Article is not liable for the goods even if:
        (1) the person from which the bailee received the

goods did not have authority to procure the document or to dispose of the goods; or

(2) the person to which the bailee delivered the

goods did not have authority to receive the goods.

(Source: P.A. 95‑895, eff. 1‑1‑09.)