Text: SF00442                           Text: SF00444
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Senate File 443

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 579A.1, Code 1999, is amended to read
  1  2 as follows:
  1  3    579A.1  DEFINITIONS.
  1  4    As used in this chapter, unless the context otherwise
  1  5 requires:
  1  6    1.  "Cattle"  means an animal classified as bovine,
  1  7 regardless of the age or sex of the animal.
  1  8    2. 1.  "Custom cattle feedlot" "Contract feeding facility"
  1  9 means a feedlot an animal feeding operation as defined in
  1 10 section 455B.161, including a confinement feeding operation or
  1 11 open feedlot, where cattle livestock owned by a person are is
  1 12 subject to care and feeding performed by another person.
  1 13    3. 2.  "Custom cattle feedlot operator" "Contract feeding
  1 14 facility operator" means the owner of a custom cattle feedlot
  1 15 or a person managing the custom cattle feedlot, if the person
  1 16 is authorized by the owner to file and enforce a lien under
  1 17 this chapter contract feeding facility or the owner's personal
  1 18 representative.
  1 19    3.  "Livestock" means an animal classified as cattle,
  1 20 swine, or poultry, regardless of the age or sex of the animal.
  1 21    4.  "Feedlot" means the same as defined in section 172D.1.
  1 22 "Personal representative" means a person who is authorized by
  1 23 the owner of the contract feeding facility to act on behalf of
  1 24 the owner, including by executing production contracts or
  1 25 filing and enforcing liens under this chapter.
  1 26    5.  "Processor" means the same as defined in section 9H.1.
  1 27    6.  "Production contract" means an agreement which provides
  1 28 that a contract feeding facility operator is required to
  1 29 receive payment for feed or services relating to the care and
  1 30 feeding of livestock owned by another person during the period
  1 31 when the livestock is kept at the contract feeding facility.
  1 32    Sec. 2.  Section 579A.2, Code 1999, is amended to read as
  1 33 follows:
  1 34    579A.2  ESTABLISHMENT OF LIEN – PRIORITY.
  1 35    1.  A custom cattle feedlot contract feeding facility
  2  1 operator who is a party to a production contract shall have a
  2  2 lien upon the cattle livestock and the identifiable cash
  2  3 proceeds from the sale of the cattle livestock for the amount
  2  4 of the owed to the contract feeding facility operator pursuant
  2  5 to the terms of the production contract price for the feed and
  2  6 care of the livestock at the custom cattle feedlot agreed upon
  2  7 by the custom cattle feedlot operator and the person who owns
  2  8 the cattle, which may be enforced as provided in section
  2  9 579A.3.
  2 10    2.  The lien is created at the time the cattle arrive
  2 11 livestock arrives at the custom cattle feedlot contract
  2 12 feeding facility and continues for one year after the cattle
  2 13 have left the custom cattle feedlot livestock leaves the
  2 14 contract feeding facility.  In order to preserve the lien, the
  2 15 custom cattle feedlot contract feeding facility operator must,
  2 16 within twenty days after the cattle arrive livestock arrives
  2 17 at the custom cattle feedlot contract feeding facility, file
  2 18 in the office of the secretary of state, a lien statement on a
  2 19 form prescribed by the secretary of state.  The secretary of
  2 20 state shall charge a fee of not more than ten dollars for
  2 21 filing the statement.  The secretary of state may adopt rules
  2 22 pursuant to chapter 17A for the electronic filing of the
  2 23 statements.  The statement must include all of the following:
  2 24    a.  An estimate of the amount of feed and care provided to
  2 25 the cattle owed pursuant to the production contract.
  2 26    b.  The estimated duration of the period when the cattle
  2 27 livestock located at the contract feeding facility are subject
  2 28 to feed and care at the custom cattle feedlot the production
  2 29 contract.
  2 30    c.  The name of the party to the production contract whose
  2 31 cattle are subject to feed and care at the custom cattle
  2 32 feedlot livestock is located at the contract feeding facility
  2 33 pursuant to the production contract.
  2 34    d.  The description of the location of the custom cattle
  2 35 feedlot contract feeding facility, by county and township.
  3  1    e.  The printed name and signature of the person filing the
  3  2 form.
  3  3    3.  Except as provided in chapter 581, a lien created under
  3  4 this section until preserved and a lien preserved under this
  3  5 section is superior to and shall have priority over a
  3  6 conflicting lien or security interest in the cattle livestock,
  3  7 including a lien or security interest that was perfected prior
  3  8 to the creation of the lien provided under this section.
  3  9    Sec. 3.  Section 579A.3, Code 1999, is amended to read as
  3 10 follows:
  3 11    579A.3  ENFORCEMENT.
  3 12    While the cattle are livestock is located at the custom
  3 13 cattle feedlot contract feeding facility, the custom cattle
  3 14 feedlot contract feeding facility operator may foreclose a
  3 15 lien created in section 579A.2 in the manner provided for the
  3 16 foreclosure of secured transactions as provided in sections
  3 17 554.9504, 554.9506, and 554.9507.  After the cattle have left
  3 18 livestock leaves the custom cattle feedlot, the custom cattle
  3 19 feedlot operator contract feeding facility, the contract
  3 20 feeding facility operator may enforce the lien by commencing
  3 21 an action at law for the amount of the lien against either of
  3 22 the following:
  3 23    1.  The holder of the identifiable cash proceeds from the
  3 24 sale of the cattle livestock.
  3 25    2.  The processor who has purchased the cattle livestock
  3 26 within three days after the cattle have left livestock leaves
  3 27 the custom cattle feedlot contract feeding facility.
  3 28    Sec. 4.  NEW SECTION.  579A.4  WAIVERS UNENFORCEABLE.
  3 29    A waiver of a right created by this chapter, including but
  3 30 not limited to a waiver of the right to file a lien pursuant
  3 31 to this chapter, is void and unenforceable.
  3 32    Sec. 5.  EFFECTIVE DATE.  This Act, being deemed of
  3 33 immediate importance, takes effect upon enactment.  
  3 34                           EXPLANATION
  3 35    This bill amends Code chapter 579 which provides that a
  4  1 custom cattle feedlot operator has a lien upon bovine and
  4  2 identifiable cash proceeds from the sale of the bovine for the
  4  3 amount owed under the terms of the contract.  The bill changes
  4  4 the names of terms referred to in the chapter.  The term
  4  5 "custom cattle feedlot" is changed to "contract feeding
  4  6 facility" and the term "custom cattle feedlot operator" is
  4  7 changed to "contract feeding facility operator".  The bill
  4  8 provides that the lien applies to contracts involving the care
  4  9 and feeding of cattle, swine, and poultry.  The procedures for
  4 10 filing and enforcing the lien remain substantially the same.
  4 11 The bill does provide that a waiver of a right created under
  4 12 the chapter's provisions is void and unenforceable.
  4 13    The bill takes effect upon enactment.  
  4 14 LSB 2122SV 78
  4 15 da/cf/24
     

Text: SF00442                           Text: SF00444
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