Text: HF02203 Text: HF02205 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 554.9109, subsection 4, paragraph a, 1 2 Code Supplement 2001, is amended to read as follows: 1 3 a. a landlord's lien,; other than an agricultural lien, 1 4 including but not limited to an agricultural lien provided in 1 5 chapter 570; 1 6 Sec. 2. Section 554.9310, subsection 2, paragraphs i and 1 7 j, Code Supplement 2001, are amended to read as followed: 1 8 i. in proceeds which is perfected under section 554.9315; 1 9or1 10 j. that is perfected under section 554.9316.; or 1 11 Sec. 3. Section 554.9310, subsection 2, Code Supplement 1 12 2001, is amended by adding the following new paragraph: 1 13 NEW PARAGRAPH. k. that is a landlord's lien which is an 1 14 agricultural lien effective and perfected as provided in 1 15 section 570.1. 1 16 Sec. 4. Section 554.9317, subsection 1, Code Supplement 1 17 2001, is amended by adding the following new paragraph: 1 18 NEW PARAGRAPH. c. An agricultural lien perfected as 1 19 provided in chapters 570 and 579A. 1 20 Sec. 5. Section 570.1, Code Supplement 2001, is amended to 1 21 read as follows: 1 22 570.1 LIEN CREATED PERFECTION AND PRIORITY 1 23 TERMINATION. 1 24 1. A landlord's lien is established under this chapter. A 1 25 landlord shall have a lien for the rent upon all crops grown 1 26 upon the landlord's leased premises, and upon anyother1 27 personal property of the landlord's tenant which has been used 1 28 or keptthereonon the leased premises during the termand1 29whichof the lease, if the crops or other property is not 1 30 exempt from execution. 1 31 2.In order to perfect aThe landlord's lien in farm 1 32 products as defined in section 554.9102, which is created1 33under this section, ais an agricultural lien as provided in 1 34 section 554.9302. In order to perfect the agricultural lien, 1 35 the landlord must file a financing statement as required by 2 1 section 554.9308, subsection 2. Except as provided in 2 2 chapters 571, 572, 579A, 579B, and 581, a perfected lien in 2 3 the farm productshasis superior to and shall have priority 2 4 over a conflicting security interest or lien in the farm 2 5 products, including a security interest or lien that was 2 6 perfected prior to the creation of the lien under this 2 7 section, if the lien created in this section is perfected on 2 8 either of the following dates: 2 9 a. Prior to July 1, 2001. 2 10 b. When the debtor takes possession of the leased premises 2 11 or within twenty days after the debtor takes possession of the 2 12 leased premises. 2 13 3. A financing statement filed to perfect a lien in the 2 14 farm products must include a statement that it is filed for 2 15 the purpose of perfecting a landlord's lien. 2 16 4. a. A lien that is perfected in farm products as 2 17 provided in this section is extinguished one year from the 2 18 date that year's rent falls due under the lease, or one year 2 19 from the date that the rent for a shorter period falls due 2 20 under the lease. However, a lien that is perfected in farm 2 21 products shall continue as if the landlord had filed a 2 22 continuation statement pursuant to section 554.9515, if the 2 23 lease is renewed and the parties to the lease and leased 2 24 premises are the same. 2 25 b. Within twenty days after a landlord who has filed a 2 26 financing statement receives a written demand, authenticated 2 27 as provided in article 9 of chapter 554, from a tenant, the 2 28 landlord shall file a termination statement, if the lien in 2 29 the farm products has expired or if the tenant is no longer in 2 30 possession of the leased premises and has performed all 2 31 obligations under the lease. 2 32 Sec. 6. Section 570.2, Code 2001, is repealed. 2 33 EXPLANATION 2 34 This bill amends provisions in Code chapter 554 (article 9 2 35 of the revised uniform commercial code) and Code chapter 570 3 1 providing for landlord's liens. The purpose of Code chapter 3 2 570 is to protect the credit interests of landlords who lease 3 3 their premises to farmers, by providing landlords a lien for 3 4 the rent upon crops grown on the leased and other personal 3 5 property of the tenant. 3 6 In 2000, the general assembly enacted House File 2513 (2000 3 7 Iowa Acts, chapter 1149) adopting revised article 9 of the 3 8 uniform commercial code as proposed by the American law 3 9 institute and the national conference of commissioners on 3 10 uniform state laws, and conforming amendments to a number of 3 11 articles within that chapter as well as other chapters 3 12 providing for security interests and liens, including Code 3 13 chapter 570. 3 14 With limited exceptions, revised article 9 governs the 3 15 creation, priority, and enforcement of creditors' consensual 3 16 liens, which are defined as security interests in personal 3 17 property and fixtures. Revised article 9, like its 3 18 predecessor, provides generally for the effectiveness of 3 19 security agreements and the rights and duties of creditors 3 20 (i.e., secured parties), including parties having possession 3 21 and control of collateral. Much of revised article 9 provides 3 22 for perfecting a security interest, usually accomplished by 3 23 filing a financing statement. The revised article provides 3 24 for the contents of financing statements and the location 3 25 where such financing statements must be filed (e.g., with the 3 26 secretary of state). In perfecting a security interest, a 3 27 debtor is generally assured rights in the collateral superior 3 28 to a security interest perfected later in time. 3 29 Prior to the revision of article 9, liens created in 3 30 statutes outside Code chapter 554 were not affected by its 3 31 provisions. These liens include types of statutory liens such 3 32 as the landlord's lien created in Code chapter 570. Revised 3 33 article 9 provides filing requirements for perfecting 3 34 statutory liens referred to as "agricultural liens" and 3 35 therefore may control issues relating to priority of 4 1 conflicting security interests and liens. Code chapter 570 4 2 was amended to require a landlord to file a financing 4 3 statement in order to perfect a lien in farm products (crops). 4 4 The amendment to Code chapter 570 provided for the contents of 4 5 the financing statement, and provided that if perfected it 4 6 would enjoy priority over conflicting security interests or 4 7 liens even if they were perfected earlier. The amendments 4 8 made exceptions for other super-priority liens created in 4 9 other statutes, including Code chapters 571 (thresher's or 4 10 cornsheller's lien), 572 (mechanic's lien), 579A (custom 4 11 cattle feedlot lien), 579B (commodity production contract 4 12 lien), and 581 (veterinarian's lien). 4 13 The bill expressly amends provisions in both Code chapters 4 14 554 and 570 to provide that a landlord's lien in farm products 4 15 as created in Code section 570.1 is an agricultural lien. It 4 16 amends provisions in Code chapter 554 referring to security 4 17 interests and agricultural liens by specifically referencing 4 18 super-priority liens such as the landlord's lien. 4 19 For purposes of readability, the bill moves and rewords 4 20 provisions from Code section 570.2 that provides that the 4 21 landlord's lien is extinguished one year from the date that a 4 22 year's rent falls due under the lease, or one year from the 4 23 date that the rent for a shorter period falls due under the 4 24 lease (but must terminate six months after the date that the 4 25 term of the lease expires). The bill then repeals Code 4 26 section 570.2. 4 27 The bill provides that a lien that is perfected in farm 4 28 products continues as if the landlord had filed a continuation 4 29 statement pursuant to Code section 554.9515, if the lease is 4 30 renewed and the parties to the lease and leased premises are 4 31 the same. 4 32 The bill keeps provisions from the 2000 amendments that 4 33 maintain the super-priority status of the landlord's lien with 4 34 the limited exceptions for the other super-priority liens that 4 35 are perfected in accordance with the revised article 9 or 5 1 their respective chapters. 5 2 LSB 5795HH 79 5 3 da/cls/14
Text: HF02203 Text: HF02205 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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