407.208 407.208 Altered warehouse receipts. Where a blank in a negotiable warehouse receipt has been filled in without authority, a purchaser for value and without notice of the want of authority may treat the insertion as authorized. Any other unauthorized alteration leaves any receipt enforceable against the issuer according to its original tenor.
407.209 407.209 Lien of warehouse keeper.
407.209(1) (1) A warehouse keeper has a lien against the bailor on the goods covered by a warehouse receipt or on the proceeds thereof in the warehouse keeper's possession for charges for storage or transportation (including demurrage and terminal charges), insurance, labor, or charges present or future in relation to the goods, and for expenses necessary for preservation of the goods or reasonably incurred in their sale pursuant to law. If the person on whose account the goods are held is liable for like charges or expenses in relation to other goods whenever deposited and it is stated in the receipt that a lien is claimed for charges and expenses in relation to other goods, the warehouse keeper also has a lien against that person for such charges and expenses whether or not the other goods have been delivered by the warehouse keeper. But against a person to whom a negotiable warehouse receipt is duly negotiated a warehouse keeper's lien is limited to charges in an amount or at a rate specified on the receipt or if no charges are so specified then to a reasonable charge for storage of the goods covered by the receipt subsequent to the date of the receipt.
407.209(2) (2) The warehouse keeper may also reserve a security interest against the bailor for a maximum amount specified on the receipt for charges other than those specified in sub. (1), such as for money advanced and interest. Such a security interest is governed by ch. 409.
407.209(3) (3) A warehouse keeper's lien for charges and expenses under sub. (1) or a security interest under sub. (2) is also effective against any person who so entrusted the bailor with possession of the goods that a pledge of them by the bailor to a good faith purchaser for value would have been valid but is not effective against a person as to whom the document confers no right in the goods covered by it under s. 407.503.
407.209(4) (4) A warehouse keeper loses the warehouse keeper's lien on any goods which the warehouse keeper voluntarily delivers or unjustifiably refuses to deliver.
407.209 History History: 1983 a. 500 s. 43; 1991 a. 316.
407.210 407.210 Enforcement of warehouse keeper's lien.
407.210(1)(1) Except as provided in sub. (2), a warehouse keeper's lien may be enforced by public or private sale of the goods in bloc or in parcels, at any time or place and on any terms which are commercially reasonable, after notifying all persons known to claim an interest in the goods. Such notification must include a statement of the amount due, the nature of the proposed sale and the time and place of any public sale. The fact that a better price could have been obtained by a sale at a different time or in a different method from that selected by the warehouse keeper is not of itself sufficient to establish that the sale was not made in a commercially reasonable manner. If the warehouse keeper either sells the goods in the usual manner in any recognized market therefor, or at the price current in such market at the time of the sale, or if the warehouse keeper has otherwise sold in conformity with commercially reasonable practices among dealers in the type of goods sold, the warehouse keeper has sold in a commercially reasonable manner. A sale of more goods than apparently necessary to be offered to insure satisfaction of the obligation is not commercially reasonable except in cases covered by the preceding sentence.
407.210(2) (2) A warehouse keeper's lien on goods, other than goods stored by a merchant in the course of his or her business, may be enforced as provided in sub. (1) if all of the following are satisfied:
407.210(2)(a) (a) The warehouse keeper notifies all persons known to claim an interest in the goods by delivering in person or sending by registered or certified mail to the last-known address of persons known to claim an interest in the goods the notice specified in par. (b).
407.210(2)(b) (b) The notice includes an itemized statement of the claim, a description of the goods subject to the lien, a demand for payment within a specified time not less than 30 days after receipt of the notification, and a conspicuous statement that unless the claim is paid within that time the goods will be sold by public or private sale.
407.210(3) (3) Before any sale pursuant to this section any person claiming a right in the goods may pay the amount necessary to satisfy the lien and the reasonable expenses incurred under this section. In that event the goods must not be sold, but must be retained by the warehouse keeper subject to the terms of the receipt and this chapter.
407.210(4) (4) The warehouse keeper may buy at any public sale pursuant to this section.
407.210(5) (5) A purchaser in good faith of goods sold to enforce a warehouse keeper's lien takes the goods free of any rights of persons against whom the lien was valid, despite noncompliance by the warehouse keeper with the requirements of this section.
407.210(6) (6) The warehouse keeper may satisfy the warehouse keeper's lien from the proceeds of any sale pursuant to this section but must hold the balance, if any, for delivery on demand to any person to whom the warehouse keeper would have been bound to deliver the goods.
407.210(7) (7) The rights provided by this section shall be in addition to all other rights allowed by law to a creditor against the creditor's debtor.
407.210(8) (8) Where a lien is on goods stored by a merchant in the course of the merchant's business the lien may be enforced in accordance with either sub. (1) or (2).
407.210(9) (9) The warehouse keeper is liable for damages caused by failure to comply with the requirements for sale under this section and in case of willful violation is liable for conversion.
407.210 History History: 1983 a. 500 s. 43; 1987 a. 213; 1991 a. 316.
407.210 Annotation A warehouse keeper's proposed sale of goods entrusted to him for storage was not an action properly attributable to the state. Flagg Bros., Inc. v. Brooks, 436 U.S. 149 (1978).
407.210 Annotation Warehouse keeper's liens may constitutionally be enforced against tenants dispossessed under s. 299.45, 1977 stats. [now s. 799.45]. Wegwart v. Eagle Movers, Inc. 441 F. Supp. 872 (1977).
407.210 Annotation A warehouse keeper's conduct in enforcing liens against a dispossessed tenant was not attributable to the state. Wegwart v. Eagle Movers, Inc. 467 F. Supp. 573 (1979).
subch. III of ch. 407 SUBCHAPTER III
BILLS OF LADING: SPECIAL PROVISIONS
407.301 407.301 Liability for nonreceipt or misdescription; "said to contain"; "shipper's load and count"; improper handling.
407.301(1)(1) A consignee of a nonnegotiable bill who has given value in good faith or a holder to whom a negotiable bill has been duly negotiated relying in either case upon the description therein of the goods, or upon the date therein shown, may recover from the issuer damages caused by the misdating of the bill or the nonreceipt or misdescription of the goods, except to the extent that the document indicates that the issuer does not know whether any part or all of the goods in fact were received or conform to the description, as where the description is in terms of marks or labels or kind, quantity, or condition or the receipt or description is qualified by "contents or condition of contents of packages unknown", "said to contain", "shipper's weight, load and count" or the like, if such indication is true.
407.301(2) (2) When goods are loaded by an issuer who is a common carrier, the issuer must count the packages of goods if package freight and ascertain the kind and quantity if bulk freight. In such cases "shipper's weight, load and count" or other words indicating that the description was made by the shipper are ineffective except as to freight concealed by packages.
407.301(3) (3) When bulk freight is loaded by a shipper who makes available to the issuer adequate facilities for weighing such freight, an issuer who is a common carrier must ascertain the kind and quantity within a reasonable time after receiving the written request of the shipper to do so. In such cases "shipper's weight" or other words of like purport are ineffective.
407.301(4) (4) The issuer may by inserting in the bill the words "shipper's weight, load and count" or other words of like purport indicate that the goods were loaded by the shipper; and if such statement is true the issuer shall not be liable for damages caused by the improper loading. But their omission does not imply liability for such damages.
407.301(5) (5) The shipper shall be deemed to have guaranteed to the issuer the accuracy at the time of shipment of the description, marks, labels, number, kind, quantity, condition and weight, as furnished by the shipper; and the shipper shall indemnify the issuer against damage caused by inaccuracies in such particulars. The right of the issuer to such indemnity shall in no way limit the issuer's responsibility and liability under the contract of carriage to any person other than the shipper.
407.301 History History: 1991 a. 316.
407.302 407.302 Through bills of lading and similar documents.
407.302(1)(1) The issuer of a through bill of lading or other document embodying an undertaking to be performed in part by persons acting as its agents or by connecting carriers is liable to anyone entitled to recover on the document for any breach by such other persons or by a connecting carrier of its obligation under the document but to the extent that the bill covers an undertaking to be performed overseas or in territory not contiguous to the continental United States or an undertaking including matters other than transportation this liability may be varied by agreement of the parties.
407.302(2) (2) Where goods covered by a through bill of lading or other document embodying an undertaking to be performed in part by persons other than the issuer are received by any such person, that person is subject with respect to that person's own performance while the goods are in that person's possession to the obligation of the issuer. That person's obligation is discharged by delivery of the goods to another such person pursuant to the document, and does not include liability for breach by any other such persons or by the issuer.
407.302(3) (3) The issuer of such through bill of lading or other document shall be entitled to recover from the connecting carrier or such other person in possession of the goods when the breach of the obligation under the document occurred, the amount it may be required to pay to anyone entitled to recover on the document therefor, as may be evidenced by any receipt, judgment, or transcript thereof, and the amount of any expense reasonably incurred by it in defending any action brought by anyone entitled to recover on the document therefor.
407.302 History History: 1991 a. 316.
407.303 407.303 Diversion; reconsignment; change of instructions.
407.303(1)(1) Unless the bill of lading otherwise provides, the carrier may deliver the goods to a person or destination other than that stated in the bill or may otherwise dispose of the goods on instructions from:
407.303(1)(a) (a) The holder of a negotiable bill; or
407.303(1)(b) (b) The consignor on a nonnegotiable bill notwithstanding contrary instructions from the consignee; or
407.303(1)(c) (c) The consignee on a nonnegotiable bill in the absence of contrary instructions from the consignor, if the goods have arrived at the billed destination or if the consignee is in possession of the bill; or
407.303(1)(d) (d) The consignee on a nonnegotiable bill if the consignee is entitled as against the consignor to dispose of them.
407.303(2) (2) Unless such instructions are noted on a negotiable bill of lading, a person to whom the bill is duly negotiated can hold the bailee according to the original terms.
407.303 History History: 1991 a. 316.
407.304 407.304 Bills of lading in a set.
407.304(1) (1) Except where customary in overseas transportation, a bill of lading must not be issued in a set of parts. The issuer is liable for damages caused by violation of this subsection.
407.304(2) (2) Where a bill of lading is lawfully drawn in a set of parts, each of which is numbered and expressed to be valid only if the goods have not been delivered against any other part, the whole of the parts constitute one bill.
407.304(3) (3) Where a bill of lading is lawfully issued in a set of parts and different parts are negotiated to different persons, the title of the holder to whom the first due negotiation is made prevails as to both the document and the goods even though any later holder may have received the goods from the carrier in good faith and discharged the carrier's obligation by surrender of his or her part.
407.304(4) (4) Any person who negotiates or transfers a single part of a bill of lading drawn in a set is liable to holders of that part as if it were the whole set.
407.304(5) (5) The bailee is obliged to deliver in accordance with ss. 407.401 to 407.404 against the first presented part of a bill of lading lawfully drawn in a set. Such delivery discharges the bailee's obligation on the whole bill.
407.304 History History: 1991 a. 316.
407.305 407.305 Destination bills.
407.305(1)(1) Instead of issuing a bill of lading to the consignor at the place of shipment a carrier may at the request of the consignor procure the bill to be issued at destination or at any other place designated in the request.
407.305(2) (2) Upon request of anyone entitled as against the carrier to control the goods while in transit and on surrender of any outstanding bill of lading or other receipt covering such goods, the issuer may procure a substitute bill to be issued at any place designated in the request.
407.306 407.306 Altered bills of lading. An unauthorized alteration or filling in of a blank in a bill of lading leaves the bill enforceable according to its original tenor.
407.307 407.307 Lien of carrier.
407.307(1)(1) A carrier has a lien on the goods covered by a bill of lading for charges subsequent to the date of its receipt of the goods for storage or transportation (including demurrage and terminal charges) and for expenses necessary for preservation of the goods incident to their transportation or reasonably incurred in their sale pursuant to law. But against a purchaser for value of a negotiable bill of lading a carrier's lien is limited to charges stated in the bill or the applicable tariffs, or if no charges are stated then to a reasonable charge.
407.307(2) (2) A lien for charges and expenses under sub. (1) on goods which the carrier was required by law to receive for transportation is effective against the consignor or any person entitled to the goods unless the carrier had notice that the consignor lacked authority to subject the goods to such charges and expenses. Any other lien under sub. (1) is effective against the consignor and any person who permitted the bailor to have control or possession of the goods unless the carrier had notice that the bailor lacked such authority.
407.307(3) (3) A carrier loses the carrier's lien on any goods which the carrier voluntarily delivers or which the carrier unjustifiably refuses to deliver.
407.307 History History: 1991 a. 316.
407.308 407.308 Enforcement of carrier's lien.
407.308(1) (1) A carrier's lien may be enforced by public or private sale of the goods, in bloc or in parcels, at any time or place and on any terms which are commercially reasonable, after notifying all persons known to claim an interest in the goods. Such notification must include a statement of the amount due, the nature of the proposed sale and the time and place of any public sale. The fact that a better price could have been obtained by a sale at a different time or in a different method from that selected by the carrier is not of itself sufficient to establish that the sale was not made in a commercially reasonable manner. If the carrier either sells the goods in the usual manner in any recognized market therefor or if the carrier sells at the price current in such market at the time of the sale or if the carrier has otherwise sold in conformity with commercially reasonable practices among dealers in the type of goods sold, the carrier has sold in a commercially reasonable manner. A sale of more goods than apparently necessary to be offered to ensure satisfaction of the obligation is not commercially reasonable except in cases covered by the preceding sentence.
407.308(2) (2) Before any sale pursuant to this section any person claiming a right in the goods may pay the amount necessary to satisfy the lien and the reasonable expenses incurred under this section. In that event the goods must not be sold, but must be retained by the carrier subject to the terms of the bill and this chapter.
407.308(3) (3) The carrier may buy at any public sale pursuant to this section.
407.308(4) (4) A purchaser in good faith of goods sold to enforce a carrier's lien takes the goods free of any rights of persons against whom the lien was valid, despite noncompliance by the carrier with the requirements of this section.
407.308(5) (5) The carrier may satisfy the carrier's lien from the proceeds of any sale pursuant to this section but must hold the balance, if any, for delivery on demand to any person to whom the carrier would have been bound to deliver the goods.
407.308(6) (6) The rights provided by this section are in addition to all other rights allowed by law to a creditor against the creditor's debtor.
407.308(7) (7) A carrier's lien may be enforced in accordance with either sub. (1) or the procedure set forth in s. 407.210 (2).
407.308(8) (8) The carrier is liable for damages caused by failure to comply with the requirements for sale under this section and in case of willful violation is liable for conversion.
407.308 History History: 1991 a. 316.
407.309 407.309 Duty of care; contractual limitation of carrier's liability.
407.309(1)(1) A carrier who issues a bill of lading whether negotiable or nonnegotiable must exercise the degree of care in relation to the goods which a reasonably careful person would exercise under like circumstances. This subsection does not repeal or change any law or rule of law which imposes liability upon a common carrier for damages not caused by its negligence.
407.309(2) (2) Damages may be limited by a provision that the carrier's liability shall not exceed a value stated in the document if the carrier's rates are dependent upon value and the consignor by the carrier's tariff is afforded an opportunity to declare a higher value or a value as lawfully provided in the tariff, or where no tariff is filed he or she is otherwise advised of such opportunity; but no such limitation is effective with respect to the carrier's liability for conversion to its own use.
407.309(3) (3) Reasonable provisions as to the time and manner of presenting claims and instituting actions based on the shipment may be included in a bill of lading or tariff.
407.309 History History: 1975 c. 94 s. 91 (12); 1991 a. 316.
subch. IV of ch. 407 SUBCHAPTER IV
WAREHOUSE RECEIPTS AND BILLS OF LADING:
GENERAL OBLIGATIONS
407.401 407.401 Irregularities in issue of receipt or bill or conduct of issuer. The obligations imposed by this chapter on an issuer apply to a document of title regardless of the fact that:
407.401(1) (1) The document may not comply with the requirements of this chapter or of any other law or regulation regarding its issue, form or content; or
407.401(2) (2) The issuer may have violated laws regulating the conduct of the issuer's business; or
407.401(3) (3) The goods covered by the document were owned by the bailee at the time the document was issued; or
407.401(4) (4) The person issuing the document does not come within the definition of warehouse keeper if it purports to be a warehouse receipt.
407.401 History History: 1983 a. 500 s. 43; 1991 a. 316.
407.402 407.402 Duplicate receipt or bill; overissue. Neither a duplicate nor any other document of title purporting to cover goods already represented by an outstanding document of the same issuer confers any right in the goods, except as provided in the case of bills in a set, overissue of documents for fungible goods and substitutes for lost, stolen or destroyed documents. But the issuer is liable for damages caused by the issuer's overissue or failure to identify a duplicate document as such by conspicuous notation on its face.
407.402 History History: 1991 a. 316.
407.403 407.403 Obligation of warehouse keeper or carrier to deliver; excuse.
407.403(1)(1) The bailee must deliver the goods to a person entitled under the document who complies with subs. (2) and (3), unless and to the extent that the bailee establishes any of the following:
407.403(1)(a) (a) Delivery of the goods to a person whose receipt was rightful as against the claimant;
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