Self-storage lien modernization advanced

A bill that would allow self-storage facility owners to impose liens on personal property was advanced from general file April 20.

<a href='http://news.legislature.ne.gov/dist08' target='_blank' title='Link to the website of Sen. Burke Harr'>Sen. Burke Harr</a>
Sen. Burke Harr

LB492, introduced by Omaha Sen. Burke Harr, would allow an operator of a self-storage facility to impose a lien on all of an occupant’s personal property located at the facility to recover delinquent rent, late fees and other charges related to the preservation, sale or disposition of the personal property.

Harr said currently self-storage facility owners operate under the same contract provisions as traditional landlord rental agreements to resolve disputes. Establishing lien procedures specific to the storage industry would help Nebraska modernize its system, he said.

“This would provide clarity for self-storage operators as to the process they need to follow,” Harr said. “That will benefit both the renters and the facility [operator].”

Under the bill, self-storage rental agreements would include language notifying a renter of the lien and its enforcement if a renter is found to be in default for more than 45 days. The facility operator would be required to give written notice to the renter of default and allow the renter an additional 45 days to pay all delinquent charges.

If the charges are not satisfied within that time frame, the facility operator may conduct a commercially reasonable sale of the personal property.

Omaha Sen. Bob Krist supported the bill, saying it would benefit active duty military members who may unintentionally miss payment deadlines due to their deployment.

Following the adoption of a technical committee amendment, senators advanced the bill to select file on a 31-0 vote.

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