SENATE BILL REPORT

                   HB 2814

              As Reported By Senate Committee On:

          Labor, Commerce & Trade, February 22, 1996

Title:  An act relating to self‑service storage facilities.

Brief Description:  Regulating the disposal of property by self‑storage facilities.

Sponsors:  Representatives McMorris, D. Sommers, Schoesler, Thompson, Romero, Brown and Hargrove.

Brief History:

Committee Activity:  Labor, Commerce & Trade:  2/20/96, 2/22/96 [DP].

SENATE COMMITTEE ON LABOR, COMMERCE & TRADE

Majority Report:  Do pass.

  Signed by Senators Pelz, Chair; Heavey, Vice Chair; A. Anderson, Deccio, Franklin, Fraser, Newhouse and Wojahn.

Staff:  Erika Lim (786-7488)

Background:  If rent for a self-storage unit is more than 14 days overdue, the facility owner may begin proceedings to terminate the renter's right to use the unit.  The owner must send notice containing statutorily prescribed information to the renter.  The renter has at least 14 days to pay all moneys owing.  If the renter does not pay, the owner may secure the unit, serve or send notice of sale, and sell the contents to recover unpaid rent and other associated charges.  If the contents are worth less than $100, the contents may be disposed of in a reasonable manner.  If the contents are worth more than $100, sale will be conducted in a commercially reasonable manner.

If a renter was not personally served with notice of sale, that person may reclaim property within six months after sale from a purchaser or a subsequent purchaser if the renter pays the purchase price plus costs incurred by the first purchaser.  If a renter was personally served, there is no right to repurchase.

Summary of Bill:  A renter does not have the right to repurchase the contents of a self-storage unit once the contents have been sold.

If the contents of a self-storage unit are worth less than $300, the contents may be disposed of in a reasonable manner.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  The contents of storage lockers are often purchased by secondhand dealers who then sell the items individually.  It can be very difficult to locate items sold to multiple purchasers.

Testimony Against:  None.

Testified:  JoAnn Town, Public Storage; Doug Bohlke, Storage Assn.; Kem Smith, Shurgard Storage Centers Inc.; Don Daniels, Storage Assn., Western Region; Lynne Mishler, President, Self Storage Assn., Western Region.