Kansas 2023-2024 Regular Session

Kansas House Bill HB2545 Compare Versions

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1+Session of 2024
12 HOUSE BILL No. 2545
2-AN ACT concerning the self-service storage act; providing for sale of property not
3-retrieved by an occupant after notice by an operator; allowing electronic signatures
4-and electronic delivery for rental agreements upon consent by an occupant; defining
5-"property that has no commercial value"; providing for the effectiveness of rental
6-agreements when such agreements are not signed or delivered by an owner or by an
7-occupant; specifying custody and control of abandoned or towed property; amending
8-K.S.A. 58-814 and 58-818 and K.S.A. 2023 Supp. 58-816 and repealing the existing
9-sections.
3+By Committee on Commerce, Labor and Economic Development
4+Requested by Whitney Damron on behalf of Self Storage Association
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6+AN ACT concerning the self-service storage act; providing for sale of
7+property not retrieved by an occupant after notice by an operator;
8+allowing electronic signatures and electronic delivery for rental
9+agreements; defining "property that has no commercial value";
10+providing for the effectiveness of rental agreements when such
11+agreements are not signed or delivered by an owner or by an occupant;
12+specifying custody and control of abandoned or towed property;
13+amending K.S.A. 58-814 and 58-818 and K.S.A. 2023 Supp. 58-816
14+and repealing the existing sections.
1015 Be it enacted by the Legislature of the State of Kansas:
11-New Section 1. (a) If the occupant does not retrieve such
12-occupant's personal property in the leased space for more than 45 days
13-after the date of a notice of termination or non-renewal by the operator,
14-the operator may sell the property as provided in subsection (b) without
15-liability to any party. The notice of termination or non-renewal shall be
16-prepared and delivered by the operator pursuant to the terms of the
17-rental agreement to be effective.
16+New Section 1. (a) If the occupant does not retrieve such occupant's
17+personal property in the leased space for more than 45 days after the date
18+of a notice of termination or non-renewal by the operator, the operator may
19+sell the property as provided in subsection (b) without liability to any
20+party. The notice of termination or non-renewal shall be prepared and
21+delivered by the operator pursuant to the terms of the rental agreement to
22+be effective.
1823 (b) Prior to the sale of the personal property, the operator shall
1924 provide an additional notice to the occupant by first-class mail to the
2025 occupant's last known address stating that the operator may sell the
2126 personal property remaining in the leased space after a specified date
22-unless the occupant removes such personal property. Such specified
23-date shall be at least 45 days after the date of the notice of termination
24-or non-renewal and at least 15 days after the date of the additional
25-notice. If a notice of termination or non-renewal by the operator
26-includes, in bold type, a statement that the operator may sell the
27-personal property remaining in the leased space unless the occupant
28-removes such property before a specified date at least 45 days after the
29-date of the notice of termination or non-renewal, the operator shall not
30-be required to provide such additional notice. If the operator has given
31-written notice to the occupant by first-class mail or in the operator's
32-notice of termination or non-renewal as provided by this subsection and
33-the occupant has not removed the personal property by the specified
34-date, the operator may sell the property. The operator may dispose of
35-personal property that has no commercial value.
36-(c) Any proceeds remaining after the operator deducts rent, labor
37-or other charges, and expenses reasonably incurred in the sale of the
38-personal property shall be considered abandoned property to be
39-reported and paid to the state treasurer in accordance with the uniform
40-unclaimed property act.
41-(d) This section shall be a part of and supplemental to the self-
42-service storage act.
43-Sec. 2. K.S.A. 58-814 is hereby amended to read as follows: 58-
44-814. As used in the self-service storage act the following words shall
45-mean the following:
27+unless the occupant removes such personal property. Such specified date
28+shall be at least 45 days after the date of the notice of termination or non-
29+renewal and at least 15 days after the date of the additional notice. If a
30+notice of termination or non-renewal by the operator includes, in bold
31+type, a statement that the operator may sell the personal property
32+remaining in the leased space unless the occupant removes such property
33+before a specified date at least 45 days after the date of the notice of
34+termination or non-renewal, the operator shall not be required to provide
35+such additional notice. If the operator has given written notice to the
36+occupant by first-class mail or in the operator's notice of termination or
37+non-renewal as provided by this subsection and the occupant has not
38+removed the personal property by the specified date, the operator may sell
39+the property. The operator may dispose of personal property that has no
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75+commercial value.
76+(c) Any proceeds remaining after the operator deducts rent, labor or
77+other charges, and expenses reasonably incurred in the sale of the personal
78+property shall be considered abandoned property to be reported and paid to
79+the state treasurer in accordance with the uniform unclaimed property act.
80+(d) This section shall be a part of and supplemental to the self-service
81+storage act.
82+Sec. 2. K.S.A. 58-814 is hereby amended to read as follows: 58-814.
83+As used in the self-service storage act the following words shall mean the
84+following:
4685 (a) "Self-service storage facility" means any real property used for
4786 renting or leasing individual storage spaces in which the occupants
48-themselves customarily store and remove their own personal property
49-on a self-service basis"Default" means the failure to perform on time
50-any obligation or duty set forth in the rental agreement.
51-(b) "Rental agreement" means any written statement that
52-establishes or modifies the terms, conditions or rules concerning the
53-use and occupancy of a self-service storage facility"Electronic
54-signature" means an electronic symbol or process that is attached to,
55-or logically associated with, a rental agreement and executed or
56-adopted by a person with an intent to accept, execute or amend the
57-rental agreement.
87+themselves customarily store and remove their own personal property on a
88+self-service basis"Default" means the failure to perform on time any
89+obligation or duty set forth in the rental agreement.
90+(b) "Rental agreement" means any written statement that establishes
91+or modifies the terms, conditions or rules concerning the use and
92+occupancy of a self-service storage facility"Electronic signature" means
93+an electronic symbol or process that is attached to, or logically associated
94+with, a rental agreement and executed or adopted by a person with an
95+intent to accept, execute or amend the rental agreement.
5896 (c) "Leased space" means the individual storage space at the self-
5997 service facility which is rented to an occupant pursuant to a rental
6098 agreement"Last known address" means that address provided by the
61-occupant in the rental agreement or the address provided by the
62-occupant in a subsequent written notice of a change of address.
99+occupant in the rental agreement or the address provided by the occupant
100+in a subsequent written notice of a change of address.
63101 (d) "Occupant" means a person, a sublessee, successor or assign,
64-entitled to the use of a leased space at a self-service storage facility
65-under a rental agreement"Late fee" means a fee or charge assessed by HOUSE BILL No. 2545—page 2
66-an operator for an occupant's failure to pay rent when due. A "late fee"
67-is not interest on a debt, nor is a late fee a reasonable expense that the
68-operator may incur in the course of collecting unpaid rent in enforcing
69-the operator's lien right pursuant to K.S.A. 58-814, et seq., and
70-amendments thereto, or enforcing any other remedy provided by statute
71-or contract.
102+entitled to the use of a leased space at a self-service storage facility under a
103+rental agreement"Late fee" means a fee or charge assessed by an operator
104+for an occupant's failure to pay rent when due. A "late fee" is not interest
105+on a debt, nor is a late fee a reasonable expense that the operator may
106+incur in the course of collecting unpaid rent in enforcing the operator's
107+lien right pursuant to K.S.A. 58-814, et seq., and amendments thereto, or
108+enforcing any other remedy provided by statute or contract.
72109 (e) "Operator" means the owner, operator, lessor or sublessor of a
73110 self-service storage facility, an agent or any other person authorized to
74-manage the facility, except that "operator" does not mean a
75-warehouseman, unless the operator issues a warehouse receipt, bill of
76-lading, or other document of title for the personal property
77-stored"Leased space" means the individual storage space at the self-
78-service storage facility that is rented to an occupant pursuant to a
79-rental agreement.
80-(f) "Personal property" means movable property, not affixed to
81-land, and "personal property" includes, but is not limited to, goods,
82-wares, merchandise, motor vehicles, watercraft, household items and
83-furnishings"Occupant" means a person, a sublessee, successor or
84-assign, entitled to the use of a leased space at a self-service storage
85-facility under a rental agreement.
86-(g) "Default" means the failure to perform on time any obligation
87-or duty set forth in the rental agreement"Operator" means the owner,
88-operator, lessor or sublessor of a self-service storage facility, an agent
89-or any other person authorized to manage the facility, except that
90-"operator" does not mean a warehouseman, unless the operator issues
91-a warehouse receipt, bill of lading, or other document of title for the
92-personal property stored.
111+manage the facility, except that "operator" does not mean a warehouseman,
112+unless the operator issues a warehouse receipt, bill of lading, or other
113+document of title for the personal property stored"Leased space" means
114+the individual storage space at the self-service storage facility that is
115+rented to an occupant pursuant to a rental agreement.
116+(f) "Personal property" means movable property, not affixed to land,
117+and "personal property" includes, but is not limited to, goods, wares,
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161+merchandise, motor vehicles, watercraft, household items and
162+furnishings"Occupant" means a person, a sublessee, successor or assign,
163+entitled to the use of a leased space at a self-service storage facility under
164+a rental agreement.
165+(g) "Default" means the failure to perform on time any obligation or
166+duty set forth in the rental agreement"Operator" means the owner,
167+operator, lessor or sublessor of a self-service storage facility, an agent or
168+any other person authorized to manage the facility, except that "operator"
169+does not mean a warehouseman, unless the operator issues a warehouse
170+receipt, bill of lading, or other document of title for the personal property
171+stored.
93172 (h) "Last known address" means that address provided by the
94-occupant in the rental agreement or the address provided by the
95-occupant in a subsequent written notice of a change of
96-address"Personal property" means movable property, not affixed to
97-land, and "personal property" includes, but is not limited to, goods,
98-wares, merchandise, motor vehicles, watercraft, household items and
99-furnishings.
173+occupant in the rental agreement or the address provided by the occupant
174+in a subsequent written notice of a change of address"Personal property"
175+means movable property, not affixed to land, and "personal property"
176+includes, but is not limited to, goods, wares, merchandise, motor vehicles,
177+watercraft, household items and furnishings.
100178 (i) "Late fee" means a fee or charge assessed by an operator for an
101-occupant's failure to pay rent when due. A late fee is not interest on a
102-debt, nor is a late fee a reasonable expense that the operator may incur
103-in the course of collecting unpaid rent in enforcing the operator's lien
104-right pursuant to K.S.A. 58-814, et seq., and amendments thereto, or
105-enforcing any other remedy provided by statute or contract"Property
106-that has no commercial value" means property offered for sale in a
107-commercially reasonable sale that receives no bid or offer.
108-(j) "Rental agreement" means any written or electronic statement
109-that establishes or modifies the terms, conditions or rules concerning
110-the use and occupancy of a self-service storage facility.
179+occupant's failure to pay rent when due. A late fee is not interest on a debt,
180+nor is a late fee a reasonable expense that the operator may incur in the
181+course of collecting unpaid rent in enforcing the operator's lien right
182+pursuant to K.S.A. 58-814, et seq., and amendments thereto, or enforcing
183+any other remedy provided by statute or contract"Property that has no
184+commercial value" means property offered for sale in a commercially
185+reasonable sale that receives no bid or offer.
186+(j) "Rental agreement" means any written or electronic statement that
187+establishes or modifies the terms, conditions or rules concerning the use
188+and occupancy of a self-service storage facility.
111189 (k) "Self-service storage facility" means any real property used for
112190 renting or leasing individual storage spaces in which the occupants
113-themselves customarily store and remove their own personal property
114-on a self-service basis.
191+themselves customarily store and remove their own personal property on a
192+self-service basis.
115193 Sec. 3. K.S.A. 2023 Supp. 58-816 is hereby amended to read as
116194 follows: 58-816. (a) The operator of a self-service storage facility has a
117-lien on all personal property stored within each leased space for rent,
118-labor or other charges, and for expenses reasonably incurred in its sale,
119-as provided in the self-service storage act.
120-(b) For purposes of any claim or action against an operator
121-involving a claim of damage to, or the loss of, personal property stored
122-in a leased space pursuant to a rental agreement with the operator, the
123-value of such personal property shall be limited by the maximum value
124-of personal property permitted to be stored in the leased space under HOUSE BILL No. 2545—page 3
125-the terms of the rental agreement.
195+lien on all personal property stored within each leased space for rent, labor
196+or other charges, and for expenses reasonably incurred in its sale, as
197+provided in the self-service storage act.
198+(b) For purposes of any claim or action against an operator involving
199+a claim of damage to, or the loss of, personal property stored in a leased
200+space pursuant to a rental agreement with the operator, the value of such
201+personal property shall be limited by the maximum value of personal
202+property permitted to be stored in the leased space under the terms of the
203+rental agreement.
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126247 (c) The rental agreement shall contain a statement, in bold type,
127248 advising the occupant:
128249 (1) Of the existence of the lien;
129-(2) that property stored in the leased space may be sold to satisfy
130-the lien if the occupant is in default;
131-(3) that any proceeds from the sale of the property that remain
132-after satisfaction of the lien will be paid to the state treasurer if
133-unclaimed by the occupant within one year after sale of the property;
134-and
250+(2) that property stored in the leased space may be sold to satisfy the
251+lien if the occupant is in default;
252+(3) that any proceeds from the sale of the property that remain after
253+satisfaction of the lien will be paid to the state treasurer if unclaimed by
254+the occupant within one year after sale of the property; and
135255 (4) of the claim limitation pursuant to subsection (b).
136-(d) The rental agreement shall include a query of the occupant as
137-to whether the occupant wishes to designate an alternative contact to
138-receive notices required by the self-storage self-service storage act and
139-space to designate such alternative contact. Failure or refusal of an
140-occupant to designate an alternative contact shall not affect an
141-occupant's or operator's rights or remedies under the self-storage self-
142-service storage act or under any other provision of law. The alternative
143-contact, if any, shall not have any rights to access the leased space or to
144-the personal property stored in the leased space unless expressly stated
145-otherwise in the rental agreement.
256+(d) The rental agreement shall include a query of the occupant as to
257+whether the occupant wishes to designate an alternative contact to receive
258+notices required by the self-storage self-service storage act and space to
259+designate such alternative contact. Failure or refusal of an occupant to
260+designate an alternative contact shall not affect an occupant's or operator's
261+rights or remedies under the self-storage self-service storage act or under
262+any other provision of law. The alternative contact, if any, shall not have
263+any rights to access the leased space or to the personal property stored in
264+the leased space unless expressly stated otherwise in the rental agreement.
146265 (e) (1) Notwithstanding the failure to sign or deliver a rental
147266 agreement by the operator or occupant, the rental agreement shall be
148267 deemed to be effective if:
149-(A) The operator does not sign and deliver to the occupant a
150-rental agreement that has been signed and delivered by the occupant to
151-the operator and the operator accepts a payment of rent by the
152-occupant for the leased space as provided in the rental agreement; or
153-(B) except as provided in subsection (f), the occupant does not
154-sign and deliver to the operator a rental agreement that has been
155-delivered to the occupant by the operator and the occupant takes or
156-continues possession of the leased space or makes a payment of rent to
157-the operator for the leased space as provided in the rental agreement.
268+(A) The operator does not sign and deliver to the occupant a rental
269+agreement that has been signed and delivered by the occupant to the
270+operator and the operator accepts a payment of rent by the occupant for
271+the leased space as provided in the rental agreement; or
272+(B) the occupant does not sign and deliver to the operator a rental
273+agreement that has been delivered to the occupant by the operator and the
274+occupant takes or continues possession of the leased space or makes a
275+payment of rent to the operator for the leased space as provided in the
276+rental agreement.
158277 (2) For rental agreements initially entered into on or after July 1,
159278 2024, a rental agreement that the occupant does not sign and deliver to
160279 the operator shall be effective only if the rental agreement contains a
161280 statement, in bold type, advising the occupant of the provisions of
162281 paragraph (1)(B).
163-(f) If an occupant has affirmatively agreed to electronic delivery
164-in writing, in either paper or electronic form, a rental agreement may
165-be delivered electronically and may be accepted or executed by means
166-of a manual, facsimile or electronic signature. The provisions of
167-subsection (e)(1)(B) shall apply to a rental agreement delivered
168-electronically only if an occupant has affirmatively agreed to electronic
169-delivery in writing as provided by this subsection.
170-Sec. 4. K.S.A. 58-818 is hereby amended to read as follows: 58-
171-818. Unless the rental agreement specifically provides otherwise and
172-until a lien sale, the towing of personal property or a sale or disposal
173-of personal property not retrieved by the occupant under the self-
174-service storage act, the exclusive care, custody and control of all
175-personal property stored in the leased self-service storage space
176-remains vested in the occupant. HOUSE BILL No. 2545—page 4
177-Sec. 5. K.S.A. 58-814 and 58-818 and K.S.A. 2023 Supp. 58-816
178-are hereby repealed.
282+(f) A rental agreement may be delivered electronically and may be
283+accepted or executed by means of a manual, facsimile or electronic
284+signature.
285+Sec. 4. K.S.A. 58-818 is hereby amended to read as follows: 58-818.
286+Unless the rental agreement specifically provides otherwise and until a lien
287+sale, the towing of personal property or a sale or disposal of personal
288+property not retrieved by the occupant under the self-service storage act,
289+the exclusive care, custody and control of all personal property stored in
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333+the leased self-service storage space remains vested in the occupant.
334+Sec. 5. K.S.A. 58-814 and 58-818 and K.S.A. 2023 Supp. 58-816 are
335+hereby repealed.
179336 Sec. 6. This act shall take effect and be in force from and after its
180337 publication in the statute book.
181-I hereby certify that the above BILL originated in the House,
182-and passed that body
183-HOUSE concurred in
184-SENATE amendments __________________________________________________________________
185-
186-Speaker of the House.
187-
188-
189-Chief Clerk of the House.
190-
191-Passed the SENATE
192- as amended
193-
194-President of the Senate.
195-
196-
197-Secretary of the Senate.
198-APPROVED
199-
200-
201-Governor.
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