§ 25-7-308. Enforcement of carrier's lien. - North Carolina Statutes

§ 25‑7‑308. Enforcement of carrier's lien.

(a)        A carrier's lien ongoods may be enforced by public or private sale of the goods, in bulk or inpackages, at any time or place and on any terms that are commerciallyreasonable, after notifying all persons known to claim an interest in thegoods. The notification must include a statement of the amount due, the natureof the proposed sale, and the time and place of any public sale. The fact thata better price could have been obtained by a sale at a different time or in amethod different from that selected by the carrier is not of itself sufficientto establish that the sale was not made in a commercially reasonable manner.The carrier sells goods in a commercially reasonable manner if the carriersells the goods in the usual manner in any recognized market therefor, sells atthe price current in that market at the time of the sale, or otherwise sells inconformity with commercially reasonable practices among dealers in the type ofgoods sold. A sale of more goods than apparently necessary to be offered toensure satisfaction of the obligation is not commercially reasonable, except incases covered by the preceding sentence.

(b)        Before any salepursuant to this section, any person claiming a right in the goods may pay theamount necessary to satisfy the lien and the reasonable expenses incurred incomplying with this section. In that event, the goods may not be sold but shallbe retained by the carrier, subject to the terms of the bill of lading and thisArticle.

(c)        A carrier may buyat any public sale pursuant to this section.

(d)        A purchaser in goodfaith of goods sold to enforce a carrier's lien takes the goods free of anyrights of persons against which the lien was valid, despite the carrier'snoncompliance with this section.

(e)        A carrier maysatisfy its lien from the proceeds of any sale pursuant to this section butshall hold the balance, if any, for delivery on demand to any person to whomthe carrier would have been bound to deliver the goods.

(f)         The rightsprovided by this section are in addition to all other rights allowed by law toa creditor against a debtor.

(g)        A carrier's lienmay be enforced pursuant to either subsection (a) of this section or theprocedure set forth in G.S. 25‑7‑210(b).

(h)        A carrier is liablefor damages caused by failure to comply with the requirements for sale underthis section and, in case of willful violation, is liable for conversion. (1965, c. 700, s. 1; 2006‑112,s. 25.)