35-36 Portable Storage Unit Property Lien - North Dakota Statutes

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CHAPTER 35-36PORTABLE STORAGE UNIT PROPERTY LIEN35-36-01. Definitions. As used in this chapter, unless the context otherwise requires:1."Default" means failure of the lessee to pay the rent and other charges at the time
and in the manner set forth in the rental agreement.2."Last-known address" means the address provided by the lessee in the latest rental
agreement or the address provided by the lessee in a subsequent written change of
address notice.3."Lessee" means a person who leases a portable storage unit, regardless of the unit's
location, under a rental agreement. The term includes a sublessee, successor, and
assignee.4."Owner" means a person who owns, leases, subleases, manages, or operates a
portable storage unit and receives rent from a lessee under a rental agreement.5."Personal property" means movable property not affixed to land, including
merchandise and household goods.6."Portable storage unit" includes a portable container, overseas shipping container, or
semitrailer which may be moved by the owner to a location designated by the lessee
or moved by the lessee to one of several locations, in accordance with the rental
agreement, and in which the lessee customarily stores and removes personal
property.7."Rental agreement" means a written agreement between the owner and the lessee
which establishes or modifies the terms and conditions of the lessee's use of the
portable storage unit.35-36-02. Lien against property. The owner of a portable storage unit has a lien on allpersonal property stored under a rental agreement in a portable storage unit for rent, labor, and
other charges, and for expenses reasonably incurred in the sale or other disposition of the
property under law. This lien is superior to other security interests except those perfected before
the date the lien attaches. The lien attaches upon default by the occupant as stated in the notice
of default served on the occupant as provided in this chapter.35-36-03. Custody and control of property. Unless the rental agreement providesotherwise, until a sale under this chapter, the lessee is responsible for the care, custody, and
control of all property stored in the portable storage unit unless the owner secures the property
elsewhere during the sale proceedings.35-36-04. Notice of proceedings.1.Before conducting a sale, the owner shall deliver in person or send by certified mail
a notice of default to prior lienholders and to the lessee at the lessee's last-known
address. A notice under this section is presumed delivered if the notice is deposited
with the United States postal service and properly addressed with postage prepaid.
The notice must include:a.A statement that the contents of the portable storage unit are subject to the
owner's lien and that the lessee is denied access to the portable storage unit
until the owner's claim is satisfied;b.The name of the lessee and the address at which the portable storage unit is
located;Page No. 1c.A statement of the charges due, the date of default, and a demand for payment
of the charges due within a specified time, which may not be fewer than ten
days after the date of the notice;d.A statement in bold type providing that, unless the claim is paid within the time
stated, the contents of the portable storage unit will be sold; ande.The name, address, and telephone number of the owner or other person that
the lessee may contact in response to the notice.2.In addition to the requirements of subsection 1, an owner shall also publish, once a
week for two consecutive weeks, with the first publication not more than thirty days
before the sale and the last publication at least seven days before the sale, the time,
place, and terms of the sale in a newspaper of general circulation in the county
where the portable storage unit is located.35-36-05. Sale of property - Application of proceeds. At any time before the sale, thelessee may pay the amount necessary to satisfy the lien and redeem the lessee's property. If a
sale is held, the owner shall satisfy the lien from the proceeds of the sale and hold the balance, if
any, for delivery on demand to the lessee or any other recorded lienholder for a period of six
months from the date of sale. Any amount not claimed by the lessee from the owner within the
six-month period is subject to the reporting requirements of section 47-30.1-08.35-36-06. Protection of purchaser in good faith. A purchaser in good faith of anyproperty sold under this chapter takes the property clear of any rights of persons against whom
the lien was valid, subject to the rights of prior lienholders.35-36-07.Liability of owner.If the owner complies with this chapter, the owner'sliability to the lessee is limited to the application of the proceeds received from the sale of the
property necessary to satisfy the lien. The owner's liability to other lienholders is limited to the
proceeds received from the sale of any property covered by the other lien, less the amount
necessary to satisfy the owner's lien.35-36-08. Validity of certain rental agreements. Any rental agreement entered beforeAugust 1, 2009, remains valid and may be enforced or terminated in accordance with its terms or
as permitted by law.35-36-09. Sale proceedings - Titled vehicles. The sale proceedings in this chapter aresufficient to provide the instruments or documents of authority to obtain a transfer of title to
vehicles under section 39-05-19. However, the rights of a prior listed lienholder are not affected
by this transfer and the department may not remove a prior lienholder in this transfer of title
without a release from the lienholder.Page No. 2Document Outlinechapter 35-36 portable storage unit property lien