Senate Bill sb0902

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    Florida Senate - 2005                                   SB 902

    By Senator Campbell





    32-771-05

  1                      A bill to be entitled

  2         An act relating to the nonjudicial sale of

  3         vessels; amending s. 328.17, F.S.; revising

  4         requirements for notice before a nonjudicial

  5         sale of a vessel; revising methods for

  6         perfecting a marina's possessory lien;

  7         providing precedence of certain liens when a

  8         vessel is sold to satisfy a lien under s.

  9         328.17, F.S.; prescribing a marina's right to

10         satisfy its lien from the sale of a vessel

11         under s. 328.17, F.S.; providing an effective

12         date.

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14  Be It Enacted by the Legislature of the State of Florida:

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16         Section 1.  Subsection (4), paragraph (a) of subsection

17  (5), and subsections (11) and (12) of section 328.17, Florida

18  Statutes, are amended to read:

19         328.17  Nonjudicial sale of vessels.--

20         (4)  A marina, as defined in s. 327.02(19), shall have

21  a possessory lien upon any vessel for storage fees, dockage

22  fees, repairs, improvements, or other work-related storage

23  charges, and for expenses necessary for preservation of the

24  vessel or expenses reasonably incurred in the sale or other

25  disposition of the vessel. The possessory lien shall attach as

26  of the date the vessel is brought to the marina, or as of the

27  date the vessel first occupies rental space at the marina

28  facility. However, in the event of default, the marina must

29  give notice to persons who hold perfected security interests

30  against the vessel under the Uniform Commercial Code in which

31  the owner is named as the debtor.

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    Florida Senate - 2005                                   SB 902
    32-771-05




 1         (5)  A marina's possessory lien may be satisfied as

 2  follows:

 3         (a)  The marina shall provide written notice to the

 4  vessel's owner, delivered in person or by certified mail to

 5  the owner's last known address. The notice shall also be and

 6  conspicuously posted at the marina and on the vessel. In

 7  addition, the marina must shall provide written notice to each

 8  person or entity that holds a security interest on the vessel

 9  as shown in the records of the Department of Highway Safety

10  and Motor Vehicles with respect to state-titled vessels, holds

11  a preferred ship mortgage or has filed a claim of lien with

12  the United States Coast Guard Vessel Documentation Center, or

13  is known by the marina to possess a maritime lien against the

14  vessel under 46 U.S.C. ss. 31301-31343 or a judgment lien

15  under ss. 55.201-55.209 or other applicable federal maritime

16  law. In furtherance of these requirements, the marina must

17  obtain a copy of the title for the vessel, and trailer if

18  applicable, from the Department of Highway Safety and Motor

19  Vehicles or a similar agency in the jurisdiction where the

20  vessel is registered or an abstract from the United States

21  Coast Guard for a vessel that is "documented" as defined in 46

22  U.S.C. s. 30101. The written notices required by this

23  paragraph shall be made by certified mail at least 60 days

24  before any proposed sale under this section. recorded

25  lienholder of such vessel registered with this state as shown

26  by the records of the Department of Highway Safety and Motor

27  Vehicles, at least 30 days prior to the proposed sale.

28         (11)  Unless otherwise provided by law, a purchaser in

29  good faith of a vessel sold to satisfy a lien provided for in

30  this section takes the property free of any claims other than

31  a prior lien perfected under state or federal law the Uniform

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    Florida Senate - 2005                                   SB 902
    32-771-05




 1  Commercial Code, despite noncompliance by the marina with the

 2  requirements of this section.

 3         (12)  In the event of a sale under this section, the

 4  marina may satisfy its lien from the proceeds of the sale,

 5  provided the marina's lien has priority over all other liens

 6  on the vessel other than a prior lien perfected under the

 7  Uniform Commercial Code. The lien rights of secured

 8  lienholders are automatically transferred to the remaining

 9  proceeds of the sale. The balance, if any, shall be held by

10  the marina for delivery on demand to the owner. A notice of

11  any balance shall be delivered by the marina to the owner in

12  person or by certified mail to the last known address of the

13  owner. If the owner does not claim the balance of the proceeds

14  within 1 year after the date of sale, the proceeds shall be

15  deemed abandoned, and the marina shall have no further

16  obligation with regard to the payment of the balance. In the

17  event that the marina's lien does not have priority over all

18  other liens, the sale proceeds shall be held for the benefit

19  of the holders of those liens having priority. A notice of the

20  amount of the sale proceeds shall be delivered by the marina

21  to the owner or secured lienholder in person or by certified

22  mail to the owner's or the secured lienholder's last known

23  address. If the owner or the secured lienholder does not claim

24  the sale proceeds within 1 year after the date of sale, the

25  proceeds shall be deemed abandoned, and the owner or the

26  secured lienholder shall have no further obligation with

27  regard to the payment of the proceeds.

28         Section 2.  This act shall take effect July 1, 2005.

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    Florida Senate - 2005                                   SB 902
    32-771-05




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 2                          SENATE SUMMARY

 3    Revises the method by which a person with a security
      interest in or lien on a vessel must have perfected it in
 4    order to be entitled to receive notice of a marina's
      possessory lien. Revises the types of liens the holders
 5    of which have precedence over a purchaser in good faith
      of a nonjudicially sold vessel.
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