Page:United States Statutes at Large Volume 77.djvu/753

 77 STAT. ]

PUBLIC LAW 88-243-DEC. 30, 1963

§28:7—^205. Title under warehouse receipt defeated in certain cases A buyer in the ordinary course of business of fungible goods sold and delivered by a warehouseman who is also in the business of buying and selling such goods takes free of any claim under a warehouse receipt even though it has been duly negotiated. § 28:7—206. Termination of storage at warehouseman's option (1) A warehouseman may on notifying the person on whose account the goods are held and any other person known to claim an interest in the,goods require payment of any charges and removal of the goods from the warehouse at the termination of the period of storage fixed by the document, or, if no period is fixed, within a stated period not less than thirty days after the notification. If the goods are not removed before the date specified in the notification, the warehouseman may sell them in accordance with the provisions of the section on enforcement of a warehouseman's lien (section 28:7—210). (2) If a warehouseman in good faith believes that the goods are about to deteriorate or decline in value to less than the amount of his lien within the time prescribed in subsection (1) for notification, advertisement and sale, the warehouseman may specify in the notification any reasonable shorter time for removal of the goods and in case the goods are not removed, may sell them at public sale held not less than one week after a single advertisement or posting. (3) If as a result of a quality or condition of the goods of which the warehouseman had no notice at the time of deposit the goods are a hazard to other property or to the warehouse or to persons, the warehouseman may sell the goods at public or private sale without advertisement on reasonable notification to all persons known to claim an interest in the goods. If the warehouseman after a reasonable effort is unable to sell the goods he may dispose of them in any lawful manner and shall incur no liability by reason of such disposition. (4) The warehouseman must d.eliver the goods to any person entitled to them under this article upon due demand made at any time prior to sale or other disposition under this section. (5) The warehouseman may satisfy his lien from the proceeds of any sale or disposition under this section but must hold the balance for delivery on the demand of any person to whom he would have been bound to deliver the goods. § 28:7—207. Goods must be kept separate; fungible goods (1) Unless the warehouse receipt otherwise provides, a warehouseman must keep separate the ^oods covered by each receipt so as to permit at all times identification and delivery of those goods except that different lots of fungible goods may be conuningled. (2) Fungible goods so commingled are owned in common by the persons entitled thereto and tKe warehouseman is severally liable to each owner for that owner's share. Where because of overissue a mass of fungible goods is insufficient to meet all the receipts which the warehouseman has issued against it, the persons entitled include all holders to whom overissued receipts have been duly negotiated. §28:7—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. 93-025 0-64-48

721

�