§ 336.2A-306 — Priority of Certain Liens Arising by Operation of Law
Plain-Language Summary
This section sets the priority of certain liens that arise automatically by law on leased goods. If someone in the ordinary course of business provides services or materials for goods that are under a lease, and the law gives that person a lien on the goods while they are in that person's possession, the lien for those services or materials takes priority over the rights of both the lessor and the lessee. The exception is when the statute or rule of law that created the lien says otherwise.
336.2A-306 PRIORITY OF CERTAIN LIENS ARISING BY OPERATION OF LAW.
If a person in the ordinary course of the person’s business furnishes services or materials with respect to goods subject to a lease contract, a lien upon those goods in the possession of that person given by statute or rule of law for those materials or services takes priority over any interest of the lessor or lessee under the lease contract or this article unless the lien is created by statute and the statute provides otherwise or unless the lien is created by rule of law and the rule of law provides otherwise.
History:
1989 c 232 art 1 s 2A-306
History: History: 1989 c 232 art 1 s 2A-306