§490:7-210  Enforcement of warehouse's lien. 
(a)  Except as otherwise provided in subsection (b), a warehouse's lien may be
enforced by public or private sale of the goods, in bulk or in packages, at any
time or place and on any terms that are commercially reasonable, after
notifying all persons known to claim an interest in the goods.  The
notification must include a statement of the amount due, the nature of the
proposed sale, and the time and place of any public sale.  The fact that a
better price could have been obtained by a sale at a different time or in a
method different from that selected by the warehouse is not of itself
sufficient to establish that the sale was not made in a commercially reasonable
manner.  The warehouse sells in a commercially reasonable manner if the
warehouse sells the goods in the usual manner in any recognized market
therefor, sells at the price current in that market at the time of the sale, or
otherwise sells in conformity with commercially reasonable practices among dealers
in the type of goods sold.  A sale of more goods than apparently necessary to
be offered to ensure satisfaction of the obligation is not commercially
reasonable, except in cases covered by the preceding sentence.



(b)  A warehouse may enforce its lien on goods,
other than goods stored by a merchant in the course of its business, only if
the following requirements are satisfied:



(1)  All persons known to claim an interest in the
goods must be notified.



(2)  The notification must include an itemized statement
of the claim, a description of the goods subject to the lien, a demand for
payment within a specified time not less than ten days after receipt of the
notification, and a conspicuous statement that unless the claim is paid within
that time the goods will be advertised for sale and sold by auction at a
specified time and place.



(3)  The sale must conform to the terms of the
notification.



(4)  The sale must be held at the nearest suitable
place to where the goods are held or stored.



(5)  After the expiration of the time given in the
notification, an advertisement of the sale must be published once a week for
two weeks consecutively in a newspaper of general circulation where the sale is
to be held.  The advertisement must include a description of the goods, the
name of the person on whose account the goods are being held, and the time and
place of the sale.  The sale must take place at least fifteen days after the
first publication.  If there is no newspaper of general circulation where the
sale is to be held, the advertisement must be posted at least ten days before
the sale in not fewer than six conspicuous places in the neighborhood of the
proposed sale.



(c)  Before any sale pursuant to this section,
any person claiming a right in the goods may pay the amount necessary to
satisfy the lien and the reasonable expenses incurred in complying with this
section.  In that event, the goods may not be sold but must be retained by the
warehouse subject to the terms of the receipt and this article.



(d)  A warehouse may buy at any public sale
held pursuant to this section.



(e)  A purchaser in good faith of goods sold to
enforce a warehouse's lien takes the goods free of any rights of persons
against which the lien was valid, despite the warehouse's noncompliance with
this section.



(f)  A warehouse may satisfy its lien from the
proceeds of any sale pursuant to this section but shall hold the balance, if
any, for delivery on demand to any person to which the warehouse would have
been bound to deliver the goods.



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



(h)  If a lien is on goods stored by a merchant
in the course of its business, the lien may be enforced in accordance with
subsection (a) or (b).



(i)  A warehouse is liable for damages caused
by failure to comply with the requirements for sale under this section and, in
case of wilful violation, is liable for conversion. [L 2004, c 163, pt of §1]