75R10264 CAS-F
By Walker H.B. No. 2762
Substitute the following for H.B. No. 2762:
By Roman C.S.H.B. No. 2762
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to a lien for the processing or harvesting of cotton.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. The heading of Section 70.003, Property Code, is
1-5 amended to read as follows:
1-6 Sec. 70.003. STABLE KEEPER'S, GARAGEMAN'S, [AND] PASTURER'S,
1-7 AND COTTON GINNER'S LIENS.
1-8 SECTION 2. Section 70.003, Property Code, is amended by
1-9 adding Subsection (d) to read as follows:
1-10 (d) A cotton ginner to whom a cotton crop has been delivered
1-11 for processing or who, under an agreement, is to be paid for
1-12 harvesting a cotton crop has a lien on the cotton processed or
1-13 harvested for the amount of the charges for the processing or
1-14 harvesting. The lienholder is entitled to retain possession of the
1-15 cotton until the amount of the charge due under an agreement is
1-16 paid or, if an amount is not specified by agreement, the reasonable
1-17 and usual compensation is paid. If the cotton owner's address is
1-18 known and the amount of the charge is not paid before the 31st day
1-19 after the date the cotton ginner's work is completed or the date
1-20 payment is due under a written agreement, whichever is later, the
1-21 lienholder shall request the owner to pay the unpaid charge due and
1-22 shall notify the owner and any other person having a lien on the
1-23 cotton who has given actual notice of that lien to the lienholder
1-24 under this subsection of the fact that unless payment is made not
2-1 later than the 15th day after the date the notice is received, the
2-2 lienholder under this subsection is entitled to sell the cotton in
2-3 any manner authorized by Section 9.504, Business & Commerce Code.
2-4 If the cotton owner's address is not known and the amount of the
2-5 charge is not paid before the 61st day after the date the cotton
2-6 ginner's work is completed or the date payment is due under a
2-7 written agreement, whichever is later, the lienholder is entitled
2-8 to sell the cotton without notice in a commercially reasonable
2-9 manner. The proceeds of a sale under this subsection shall be
2-10 applied first to charges due under this subsection, and any
2-11 remainder shall be paid in appropriate proportion to:
2-12 (1) any other person having a lien on the cotton who
2-13 has given actual notice of that lien to the lienholder under this
2-14 subsection; and
2-15 (2) the cotton owner.
2-16 SECTION 3. The heading of Section 70.005, Property Code, is
2-17 amended to read as follows:
2-18 Sec. 70.005. SALE OF PROPERTY [OTHER THAN MOTOR VEHICLE].
2-19 SECTION 4. Section 70.005(a), Property Code, is amended to
2-20 read as follows:
2-21 (a) A person holding a lien under this subchapter on
2-22 property other than a motor vehicle subject to Chapter 501,
2-23 Transportation Code [the Certificate of Title Act, as amended
2-24 (Article 6687-1, Vernon's Texas Civil Statutes)], or cotton under
2-25 Section 70.003(d), who retains possession of the property for 60
2-26 days after the day that the charges accrue shall request the owner
2-27 to pay the unpaid charges due if the owner's residence is in this
3-1 state and known. If the charges are not paid before the 11th day
3-2 after the day of the request, the lienholder may, after 20 days'
3-3 notice, sell the property at a public sale, or if the lien is on a
3-4 garment, at a public or private sale.
3-5 SECTION 5. Section 70.003(d), Property Code, as added by
3-6 this Act, applies only to an amount that becomes due for processing
3-7 or harvesting of cotton on or after the effective date of this Act.
3-8 SECTION 6. This Act takes effect September 1, 1997.
3-9 SECTION 7. The importance of this legislation and the
3-10 crowded condition of the calendars in both houses create an
3-11 emergency and an imperative public necessity that the
3-12 constitutional rule requiring bills to be read on three several
3-13 days in each house be suspended, and this rule is hereby suspended.