§ 7-308 — Enforcement of Carrier's Lien

Section 7--308. Enforcement of Carrier's Lien.\n (a) A carrier's lien on goods may be enforced by public or private\nsale of the goods, in bulk or in packages, at any time or place and on\nany terms that are commercially reasonable, after notifying all persons\nknown to claim an interest in the goods. The notification must include a\nstatement of the amount due, the nature of the proposed sale, and the\ntime and place of any public sale. The fact that a better price could\nhave been obtained by a sale at a different time or in a method\ndifferent from that selected by the carrier is not of itself sufficient\nto establish that the sale was not made in a commercially reasonable\nmanner. The carrier sells goods in a commercially reasonable manner if\nthe carrier sells the goods in the usual manner in any recognized market\ntherefor, sells at the price current in that market at the time of the\nsale, or otherwise sells in conformity with commercially reasonable\npractices among dealers in the type of goods sold. A sale of more goods\nthan apparently necessary to be offered to ensure satisfaction of the\nobligation is not commercially reasonable, except in cases covered by\nthe preceding sentence.\n (b) Before any sale pursuant to this section, any person claiming a\nright in the goods may pay the amount necessary to satisfy the lien and\nthe reasonable expenses incurred in complying with this section. In that\nevent, the goods may not be sold but must be retained by the carrier,\nsubject to the terms of the bill of lading and this article.\n (c) A carrier may buy at any public sale pursuant to this section.\n (d) A purchaser in good faith of goods sold to enforce a carrier's\nlien takes the goods free of any rights of persons against which the\nlien was valid, despite the carrier's noncompliance with this section.\n (e) A carrier may satisfy its lien from the proceeds of any sale\npursuant to this section but shall hold the balance, if any, for\ndelivery on demand to any person to which the carrier would have been\nbound to deliver the goods.\n (f) The rights provided by this section are in addition to all other\nrights allowed by law to a creditor against a debtor.\n (g) A carrier's lien may be enforced pursuant to either subsection (a)\nor the procedure set forth in Section 7--210(b).\n (h) A carrier is liable for damages caused by failure to comply with\nthe requirements for sale under this section and, in case of willful\nviolation, is liable for conversion.\n