Lean against Legal Meaning
Moving companies are generally entitled to a moving lien under UCC Article 7-307/308 to detain a customer`s goods to secure payment. This is a privilege of possession and the type of non-consensual privilege (because it exists automatically under a statute rather than being positively agreed). However, the concept of moving privilege is often abused in a moving scam known as hostage taking, where the moving company fraudulently extorts money that the customer does not owe by refusing to deliver the goods unless the customer pays money that is inflated beyond the contractual estimate. Since the customer has an interest in receiving his own goods, he is obliged to pay the ransom. Hostage-taking, at least in an interstate context, is illegal under 49 U.S.C. 13905. The FMCSA regulates the moving industry and sometimes takes enforcement action by fining moving companies and/or granting licenses. Moving companies that intentionally engage in hostage-taking can also be considered extortion in violation of the law on the influence of racketeering and corrupt organizations. A state`s published laws usually have a section on privileges, listing most or all of the privileges allowed by state law.
A large number of people in commerce or industry receive privileges for their services to personal property: garage owners and warehouse owners for unpaid rent for storage; auto mechanic for repairs; Jewelers; chemical cleaners and fillers; craftsmen for the restoration of art objects; Bankers; commodity factors; and many more. In order not to be outdone, lawyers have a privilege on their fees and can keep client records – possibly with important information or documents that the client needs for professional or family matters – until the fees are paid. A lien is the right to retain lawful possession of another person`s property until the owner fulfills a legal obligation to the person who owns it.4 min read A lien is a legal right to enforce a security right in property that the owner of the property makes available to the creditor. It is usually used as collateral for some type of legal obligation such as loan repayment. Perhaps the riskiest step a property buyer can take is to buy without ensuring that there are no liens on the property or without purchasing property insurance against liens on the property. In many states, privileges are secret, that is, they are hidden from public records until they have to be deposited. n. any official claim or charge on property or sums for the payment of any debt or sum due for services rendered.
A lien is usually a formal document signed by the party to whom the money is owed, and sometimes by the debtor who accepts the amount owed. A lien involves the right to sell property if necessary to receive the money. A mortgage or trust deed is a form of lien, and any lien on real estate must be registered with the County Recorder to be enforceable, including a summary of judgment that transforms a judgment into a lien on the property of the judgment debtor. There are many types of privileges, including: a mechanic`s lien on the property on which a worker, contractor or supplier has provided labour or materials, a lawyer`s privilege on fees payable from funds recovered through his efforts, a medical privilege on medical bills paid from funds collected for an injury, a landlord`s lien on a tenant`s property for unpaid rent or damages, a tax lien to enforce the government`s claim for unpaid taxes, or the security agreement (UCC-1) approved by the Uniform Commercial Code. Most liens are enforceable in the order in which they were registered or filed (in the case of security arrangements), with the exception of tax privileges, which take precedence over the individual`s claim. In general, liens are rightly linked to lump sum claims and not to those arising from damages. However, by means of an express contract, they may seize in cases where the goods are to be held as compensation for a possible future claim or damages. The claim in respect of which the privilege is asserted must belong to the party asserting it on its own behalf and not merely as a representative of a third party. It must be a claim or claim owed by the person on whose behalf the party is acting and not by a third party, although the goods may be claimed through them. LINK, contracts. In its broadest sense, this term includes all cases where movable or immovable property is subject to the payment of debts or duties; Such a charge is called property privilege. In a narrower sense, it is defined as a right to retain someone else`s property until a claim is satisfied.
2 East 235; 6 East 25; 2 campb. 579; 2 Meriv. 494; 2 Rose, 357; 1 Dall. R. 345. 2. In principle, the privilege arises ipso jure, but in certain cases by express contract. 3.
There are two types of privileges; Namely, special and general. If a person claims a retention-of-title right with respect to money or labor spent on that particular property, this is a specific privilege. Privileges can arise in three ways: 1. By express contract. 2d. By implied contract, such as by common or special commercial usage.3d. Through legal relationships between the parties, which can be established in three ways; If the law imposes on a party the obligation to perform a particular act, and in return, it grants him such a privilege to guarantee its payment; 1 R. Esp. 109; 6 East, 519; 2 Ld.
Raym. 866; Ordinary freight forwarders and innkeepers belong to this number. 2. If goods are delivered to one merchant or another to expend his work, he has the right to withhold such goods until he is remunerated for the work he expends. 2 wheels. From. 92; 3 M. and p. 167; 14 Selection. 332; 3 bouv. Inst.
Nr. 2514. (3) If goods have been rescued from the dangers of the sea, the salvage operator may detain them until his request for rescue is satisfied; But in no other case does the goods seeker have privilege. 2 salks. 654; 5 burrs. 2732; 3 bouv. Inst. No. 2518. General privileges manifest themselves in three ways; 1. By mutual agreement between the Parties. 6 T.
R.14; 3 Bos. & Shoot. 42. 2. By the general use of trade. 3. By special commercial use. Whitaker on Links 35; Prec. Carel 580; 1 ATK. 235; 6 R.
T. 19. 4. It may be appropriate to consider some general principles: 1. The manner in which a privilege may be acquired. 2. To which the retention rights are duly bound. 3.
How they can get lost. 4. Their effect. 5.-1. How privileges can be acquired. In order to create a valid privilege, it is essential to 1. That the party to whom it is acquired should have absolute ownership or ownership of the thing, or at least a right to transfer it. 2d. That the party claiming the lien should have actual or real possession with the consent of the party against whom the claim is made. 3 puppy. Com.
Law, 547; Paley on Ag. by Lloyd, 137; 17 Mass. R. 197; 4 campb. R. 291; 3 T.R. 119 and 783; 1 East, r. 4; 7 East, r.
5; 1 Strong. R. 123; 3 Rose, r. 955; 3 Prize, r. 547; 5 binn. No. 392.3d. the lien arises by virtue of an express or implied agreement and is not intended for a limited or specific purpose incompatible with the express terms or clear intention of the contract; 2 Strong. No. 272; 6 R. T. 258; 7 taunts.
278;. 5 M. and p. 180; 15 Fair 389, 397; For example, when goods are deposited for delivery to third parties or transported to another place. Friend. on Ag. by Lloyd, 140. 6.-2. Debts or claims to which the liens are duly attached. 1st edition. In general, liens are properly linked to lump sum claims and not to those that only resemble damages; 3 Chit.COM. Law, 548; However, by means of an express contract, they may also join in such a case where the goods are to be held as compensation against a possible future claim or damages.
Ibid. 2d. The claim in respect of which the lien is asserted must be owed to the party asserting it on his own behalf and not merely as an agent of a third party. It must be a claim or a claim owed by the person on whose behalf the party is acting and not by a third party, although the goods may be claimed by them. Friend. Ag. von Lloyd, 132. 7.-3. How a privilege can be lost. 1st edition. It may be cancelled or lost by any act or agreement between the parties by which it is abandoned or becomes unenforceable.
2d. It can also be lost through voluntary separation from possession of the goods. But there are some exceptions to this rule; If, for example, a postman, by a legal authority, sells the property of his principal and disposes of possession in connection with the sale, he is not considered a loss of his privilege by this action, but he is liable for the proceeds of the sale in the hands of the buyer. 8.-4. The effect of privileges. In general, the right of the lien holder is limited to the simple right of retention. However, if the creditor has made advances on a postman`s assets, he usually has the right to sell.