34-289. Rights of purchaser for value in good faith of negotiable receipt. - Kansas Statutes

34-289

Chapter 34.--GRAIN AND FORAGE Article 2.--INSPECTING, SAMPLING, STORING, WEIGHING AND GRADING GRAIN; TERMINAL AND LOCAL WAREHOUSES

      34-289.   Rights of purchaser for value in good faith of negotiablereceipt.Where a negotiable receipt has been issued for grain, no seller's lienor right of stoppage in transit shall defeat the rights of any purchaserfor value in good faith to whom such receipt has been negotiated, whethersuch negotiation be prior or subsequent to the notification to thewarehouseman who issued such receipt of the seller's claim to a lien orright of stoppage in transit. Nor shall the warehouseman be obliged todeliver or be justified in delivering the grain to an unpaid seller unlessthe receipt is first surrendered for cancellation.

      History:   L. 1931, ch. 194, § 67; July 1.