Acts and Regulations

2011, c.225 - Storer’s Lien Act

Full text
Current to 16 June 2023
2011, c.225
Storer’s Lien Act
Deposited May 13, 2011
Definitions
1The following definitions apply in this Act.
“goods” includes personal property of every description that may be deposited with a storer as bailee. (marchandises)
“security interest” means an interest in goods that secures payment or performance of an obligation. (sûreté)
“storer” means a person lawfully engaged in the business of storing goods as a bailee for hire. (entreposeur)
R.S.1973, c.W-4, s.1; 1993, c.36, s.14; 2007, c.2, s.2
Lien
2(1)Subject to the provisions of section 3, every storer has a lien on goods deposited with that person for storage, whether deposited by the owner of the goods or by the owner’s authority or by any person entrusted with the possession of the goods by the owner or by the owner’s authority.
2(2)The lien is for the amount of the storer’s charges, that is to say,
(a) all lawful charges for storage and preservation of the goods,
(b) all lawful claims for money advanced, interest, insurance, transportation, labour, weighing, coopering and other expenses in relation to the goods, and
(c) all reasonable charges for any notice required to be given under the provisions of this Act, for notice and advertisement of sale and for sale of goods if default is made in satisfying the storer’s lien.
R.S.1973, c.W-4, s.2; 2007, c.2, s.3
Notice of lien
3(1)If the goods on which a lien exists were deposited not by the owner nor by the owner’s authority but by a person entrusted with the possession of the goods by the owner or by the owner’s authority, the storer shall, within two months after the date of the deposit, give notice of the lien to
(a) the owner of the goods, and
(b) any person with a security interest in the goods who had registered a financing statement in relation to the goods in the Personal Property Registry before the date of the deposit.
3(2)The notice shall be in writing and contain
(a) a brief description of the goods,
(b) a statement showing the location of the warehouse where the goods are stored, the date of their deposit with the storer and the name of the person by whom they were deposited, and
(c) a statement that a lien is claimed by the storer in respect of the goods under this Act.
3(3)If the storer fails to give the notice required by this section, the storer’s lien, as against the person to whom the storer has failed to give notice, is void as from the end of the period of two months from the date of the deposit of the goods.
R.S.1973, c.W-4, s.3; 1993, c.36, s.14; 2007, c.2, s.4
Sale of goods
4(1)In addition to all other remedies provided by law for the enforcement of liens or for the recovery of storer’s charges, a storer may sell by public auction, in the manner provided in this section, any goods on which the storer has a lien for charges that have become due.
4(2)The storer shall give written notice of the storer’s intention to sell
(a) to the person liable as debtor for the charges for which the lien exists,
(b) to the owner of the goods and to any person with a security interest in the goods who had registered a financing statement in relation to the goods in the Personal Property Registry before the date of the deposit, and
(c) to any other person known by the storer to have or to claim an interest in the goods.
4(3)The notice shall contain
(a) a brief description of the goods,
(b) a statement showing the location of the warehouse where the goods are stored, the date of their deposit with the storer and the name of the person by whom they were deposited,
(c) an itemized statement of the storer’s charges showing the sum due at the time of the notice,
(d) a demand that the amount of the charges as stated in the notice and such further charges as may accrue be paid on or before a day mentioned, not less than 21 days from the delivery of the notice if it is personally delivered, or from the time when the notice should reach its destination according to the due course of mail if it is sent by mail, and
(e) a statement that, unless the charges are paid within the time mentioned, the goods will be advertised for sale and sold by public auction at a time and place specified in the notice.
4(4)If the charges are not paid on or before the day mentioned, an advertisement of the sale, describing the goods to be sold and stating the name of the person liable as debtor for the charges for which the lien exists and the time and place of the sale, shall be published at least once a week for two consecutive weeks in a newspaper published in the Province and circulating in the locality where the sale is to be held.
4(5)The sale shall not be held less than 14 days from the date of the first publication of the advertisement.
R.S.1973, c.W-4, s.4; 1993, c.36, s.14; 2007, c.2, s.5
Substantial compliance
5If a notice of lien under the provisions of section 3 or a notice of intention to sell under the provisions of section 4 has been given but the provisions of this Act have not been strictly complied with, if the court or judge before whom any question respecting the notice is tried or inquired into considers that the provisions have been substantially complied with, or that it would be inequitable that the lien or sale be void by reason of the non-compliance, no objection to the sufficiency of the notice shall in any such case be allowed to prevail so as to release or discharge the goods from the lien or to vitiate the sale.
R.S.1973, c.W-4, s.5
Disposition of proceeds of sale
6(1)From the proceeds of the sale, the storer shall satisfy the storer’s lien and shall pay over the surplus, if any, to the person entitled to it, and the storer shall, when paying over the surplus, deliver to the person to whom the storer pays it a statement of account showing how the amount has been computed.
6(2)If the surplus is not demanded by the person entitled to it within ten days after the sale, or if there are different claimants or the right to it is uncertain, the storer shall pay the surplus into The Court of King’s Bench of New Brunswick on the order of a judge, which order may be made ex parte on such terms and conditions as to costs and otherwise as the judge may direct and which may provide to what fund or name the amount shall be credited.
6(3)The storer at the time of paying the amount into court shall file in the court a copy of the statement of account showing how the amount has been computed.
R.S.1973, c.W-4, s.6; 1979, c.41, s.128; 2007, c.2, s.6; 2023, c.17, s.261
Payment of charges and possession of goods
7(1)At any time before the goods are sold, any person claiming an interest or right of possession in the goods may pay the storer the amount necessary to satisfy the storer’s lien, including the expenses incurred in serving notices and advertising and preparing for the sale up to the time of payment.
7(2)The storer shall deliver the goods to the person making the payment if that person is the person entitled to the possession of the goods on payment of the storer’s charges; otherwise, the storer shall retain possession of the goods according to the terms of the contract of deposit.
R.S.1973, c.W-4, s.7; 2007, c.2, s.7
Service of notice
8When, by this Act, a notice in writing is required to be given, the notice shall be given by delivering it to the person to whom it is to be given or by mailing it in the post office, postage paid and registered, addressed to that person at that person’s latest known address.
R.S.1973, c.W-4, s.8
N.B. This Act was proclaimed and came into force September 1, 2011.
N.B. This Act is consolidated to June 16, 2023.