S-1626               _______________________________________________

                                         SUBSTITUTE SENATE BILL NO. 5168

                        _______________________________________________

State of Washington                              50th Legislature                              1987 Regular Session

By Senate Committee on Agriculture (originally sponsored by Senators Hansen, Barr, Gaspard, Anderson and Bailey)

Read first time 2/9/87.

AN ACT Relating to crop liens; amending RCW 60.11.040 and 60.11.050; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 4, chapter 242, Laws of 1986 and RCW 60.11.040 are each amended to read as follows:

          (1) Except as provided in subsection (4) of this section with respect to the lien of a landlord, any lien holder must after the commencement of delivery of such supplies and/or of provision of such services, but before the expiration of thirty days after the completion of the harvest of the crops for which the lien is claimed:  (a) File a statement evidencing the lien with the department of licensing; and (b) if the lien holder is to be allowed costs, disbursements, and attorneys' fees, mail a copy of such statement to the last known address of the debtor by certified mail, return receipt requested, within ten days.

          (2) The statement shall be in writing, signed by the claimant, and shall contain in substance the following information:

          (a) The name and address of the claimant;

          (b) The name and address of the debtor;

          (c) The date of commencement of performance for which the lien is claimed;

          (d) A description of the labor services, materials, or supplies furnished;

          (e) A description of the crop and its location to be charged with the lien sufficient for identification; and

          (f) The signature of the claimant.

          (3) The department of licensing may by rule prescribe standard filing forms, fees, and uniform procedures for filing with, and obtaining information from, filing officers, including provisions for filing crop liens together with financing statements filed pursuant to RCW 62A.9-401 so that one request will reveal all filed crop liens and security interests.

          (4) Any landlord claiming a lien under this chapter for rent shall file a statement evidencing the lien with the department of licensing.  A lien for rent claimed by a landlord pursuant to this chapter shall be effective during the term of the lease for a  period of up to five years.  A landlord lien covering a lease term longer than five years may be refiled in accordance with RCW 60.11.050(4).  A landlord who has a right to a share of the crop may place suppliers on notice by filing evidence of such interest in the same manner as provided for filing a landlord's lien.

        Sec. 2.  Section 5, chapter 242, Laws of 1986 and RCW 60.11.050 are each amended to read as follows:

          (1) Except as provided in subsections (2), (3), and (4) of this section, conflicting liens and security interests shall rank in accordance with the time of filing.

          (2) The lien created in RCW 60.11.020(2) in favor of any person who furnishes any work or labor upon the land of the grower or landowner shall be preferred and prior to any other lien or security interest upon the crops to which they attach including the liens described in subsections (3) and (4) of this section.

          (3) A lien or security interest in crops otherwise entitled to priority pursuant to subsection (1) of this section shall be subordinate to a later filed lien or security interest in crops to the extent that obligations secured by such earlier filed security interest or lien were not incurred to produce such crops.

          (4) A lien or security interest in crops otherwise entitled to priority pursuant to subsection (1) of this section shall be subordinate to a properly filed landlord's lien.  A landlord's lien shall retain its priority if refiled within six months prior to its expiration.

NEW SECTION. Sec. 3.     If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 4.     This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately.