BY REPRESENTATIVES Swenson, Entz, Salaz, and Sinclair;
also SENATORS Norton, B. Alexander, Chlouber,
Matsunaka, and Tanner.
CONCERNING THE OWNERSHIP OF MOLDS USED IN THE MANUFACTURING
PROCESS, AND, IN CONNECTION THEREWITH, ESTABLISHING A MOLDERS'
LIEN.
Be it enacted by the General Assembly of the State
of Colorado:
SECTION 1. 3820101,
Colorado Revised Statutes, is amended to read:
3820101. Definitions.
As used in this article, unless the context otherwise requires:
(1) "Rent
temporary shelter" or "rent temporary trailer space"
means shelter or trailer space which is rented for a fee for a
period of time not exceeding one month, but excluding month to
month tenancies which have been in effect at least four months.
"CUSTOMER" MEANS ANY PERSON WHO:
(a) HIRES A MOLDER TO FABRICATE, CAST,
OR OTHERWISE PREPARE A DIE, TOOL, MOLD, FORM, OR PATTERN FOR THE
PURPOSE OF MANUFACTURING, ASSEMBLING, CASTING, FABRICATING, OR
OTHERWISE MAKING A PRODUCT; OR
(b) PROVIDES A MOLDER WITH A DIE, TOOL,
MOLD, FORM, OR PATTERN FOR THE PURPOSE OF MANUFACTURING, ASSEMBLING,
CASTING, FABRICATING, OR OTHERWISE MAKING A PRODUCT.
(2) "MOLD" MEANS A DIE, TOOL,
MOLD, FORM, OR PATTERN.
(3) "MOLDER" MEANS ANY PERSON
WHO FABRICATES, CASTS, OR OTHERWISE PREPARES OR USES A DIE, TOOL,
MOLD, FORM, OR PATTERN FOR THE PURPOSE OF MANUFACTURING, ASSEMBLING,
CASTING, FABRICATING, OR OTHERWISE PREPARING A PRODUCT. "MOLDER"
INCLUDES, BUT IS NOT LIMITED TO, A TOOL OR DIE MAKER. A MOLDER
SHALL NOT BE DEEMED TO BE A WAREHOUSEMAN AS DEFINED IN SECTION
47102, C.R.S.
(4) "RENT TEMPORARY SHELTER"
OR "RENT TEMPORARY TRAILER SPACE" MEANS SHELTER OR TRAILER
SPACE THAT IS RENTED FOR A FEE FOR A PERIOD OF TIME NOT EXCEEDING
ONE MONTH, BUT EXCLUDING MONTH TO MONTH TENANCIES THAT HAVE BEEN
IN EFFECT AT LEAST FOUR MONTHS.
SECTION 2. Part
1 of article 20 of title 38, Colorado Revised Statutes, is amended
BY THE ADDITION OF A NEW SECTION to read:
3820106.2. Molders' liens
creation notice. (1) A
MOLDERS' LIEN SHALL ATTACH TO ALL OF A CUSTOMER'S MOLDS IN A MOLDER'S
POSSESSION FOR WHICH A BALANCE IS DUE FROM SUCH CUSTOMER FOR ANY
MANUFACTURING OR FABRICATION WORK PERFORMED AND MATERIALS FURNISHED.
A MOLDERS' LIEN SHALL BE FOR THE AMOUNT DUE FOR ANY SUCH WORK
PERFORMED OR MATERIALS FURNISHED, INCLUDING INTEREST AT THE RATE
SPECIFIED IN SECTION 3822101 (5), UNLESS OTHERWISE
AGREED, AND FOR ALL COSTS INCURRED IN ENFORCING SUCH LIEN, INCLUDING
ATTORNEY FEES IF SPECIFIED BY CONTRACT. THE AMOUNT OF SUCH LIEN
SHALL BE DETERMINED BY THE VALUE OF ANY SUCH MANUFACTURING OR
FABRICATION WORK PERFORMED AND MATERIAL FURNISHED UNLESS THE COST
OF SUCH WORK AND MATERIALS IS OTHERWISE SPECIFIED BY CONTRACT.
A MOLDER MAY RETAIN POSSESSION OF A MOLD UNTIL ALL CHARGES ARE
PAID FOR SUCH LIEN, UNLESS A CLAIM IS MADE TO SUCH MOLD BY THE
HOLDER OF A PRIOR LIEN OR BY THE HOLDER OF A LIEN OF PUBLIC RECORD.
(2) A MOLDERS' LIEN CREATED PURSUANT TO
THIS SECTION SHALL BE CONSIDERED A SECURITY INTEREST FOR THE PURPOSES
OF SECTION 185206, C.R.S.
(3) NO LIEN CREATED BY THIS SECTION SHALL
HAVE PRIORITY OVER A LIEN OF PUBLIC RECORD, INCLUDING A LIEN FILED
PURSUANT TO TITLE 4, C.R.S., REGARDLESS OF WHEN THE FINANCING
STATEMENT OR NOTICE OF LIEN WAS FILED OR RECORDED.
SECTION 3. 3820107
(1), Colorado Revised Statutes, is amended to read:
3820107. Commencement of
foreclosure action. (1) If
any such charges for which a lien is given by section 3820102,
3820105, or
3820106, OR 3820106.2, or for which a
lien is restored by section 3820106.5, are not paid
within thirty days after the same become due and payable, the
mechanic, innkeeper, agistor, or other person to whom such lien
is given may file a foreclosure action in the county or district
court of the county or city and county in which the contract or
agreement between the lienholder and the owner of the property
was signed or entered into, in which the owner resided at the
time the contract or agreement was entered into, in which the
owner resides at the time the foreclosure action is commenced
or in which the work was performed, OR, IN THE CASE OF A LIEN
CREATED PURSUANT TO SECTION 3820106.2, IN WHICH ANY
WORK WAS PERFORMED OR MATERIALS WERE FURNISHED. In the event that
the lienholder does not foreclose the lien by commencing a judicial
action within sixty days and if under section 3820106
within ninety days after charges become due and payable, the lien
shall terminate. However, such period of limitation may be extended
by agreement between the parties for an additional period not
to exceed thirty days. For the purposes of this subsection (1),
if the contract between the owner and the lienholder provides
for installment or continuing payments, installments or continuing
payments shall be deemed to be due after default of any installment
or payment or at the time the final installment or payment is
due and payable at the option of the lienholder.
SECTION 4. The
introductory portion to 3820108 (1) and 3820108
(1) (a), Colorado Revised Statutes, are amended, and the said
3820108 (1) is further amended BY THE ADDITION OF
A NEW PARAGRAPH, to read:
3820108. Foreclosure action
procedure. (1) In any
foreclosure action, the lienholder or his
THE LIENHOLDER'S attorney, by complaint, shall show to the court
the following:
(a) That the lienholder did perform a
specified service for the defendant which entitles him
SUCH LIENHOLDER to a lien on personal property owned by the defendant
pursuant to the provisions of section 3820102, 3820105,
or 3820106,
OR 3820106.2;
(g) AN ITEMIZED DESCRIPTION OF THE CHARGES
FOR ANY WORK PERFORMED AND MATERIALS FURNISHED, INCLUDING INTEREST
AT THE RATE SPECIFIED IN SECTION 3822101 (5), UNLESS
OTHERWISE AGREED, AND FOR ALL COSTS INCURRED IN ENFORCING SUCH
LIEN, INCLUDING ATTORNEY FEES IF SPECIFIED BY CONTRACT IF A LIEN
IS CLAIMED UNDER SECTION 3820106.2.
SECTION 5. 3820116,
Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW
SUBSECTION to read:
3820116. Abandoned property
defined notice of sale. (3) (a) THE
FOLLOWING PROVISIONS SHALL APPLY TO MOLDS, AS DEFINED IN SECTION
3820101:
(I) IN THE ABSENCE OF AN AGREEMENT TO
THE CONTRARY, A CUSTOMER SHALL HAVE ALL RIGHTS AND TITLE TO ANY
MOLD IN THE POSSESSION OF A MOLDER THAT WAS USED TO PERFORM WORK
FOR SUCH CUSTOMER; EXCEPT THAT, IF A CUSTOMER HAS NOT CLAIMED
POSSESSION OF A MOLD WITHIN THREE YEARS FOLLOWING ITS LAST PRIOR
USE, SUCH MOLD SHALL BE PRESUMED TO BE ABANDONED BY THE CUSTOMER
AND ALL RIGHTS AND TITLE TO SUCH MOLD SHALL BE TRANSFERRED TO
THE MOLDER WHO SHALL DESTROY OR OTHERWISE DISPOSE OF SUCH MOLD
AS ABANDONED PROPERTY IN ACCORDANCE WITH THIS SECTION. FOR PURPOSES
OF THIS SUBSECTION (3), "WITHIN THREE YEARS FOLLOWING ITS
LAST PRIOR USE" MEANS ANY PERIOD FOLLOWING THE LAST PRIOR
USE OF THE MOLD AND INCLUDES PERIODS PRECEDING THE EFFECTIVE DATE
OF THIS SECTION.
(II) ANY MOLDER WHO DESIRES TO HAVE ALL
RIGHTS AND TITLE TO A MOLD SHALL SEND WRITTEN NOTICE TO THE CUSTOMER'S
LASTKNOWN ADDRESS BY REGISTERED OR CERTIFIED MAIL RETURN
RECEIPT REQUESTED, SIGNED BY THE ADDRESSEE ONLY. IF THE WRITTEN
NOTICE IS RETURNED UNCLAIMED, THE MOLDER SHALL PUBLISH SAID NOTICE
AT LEAST ONE DAY IN A NEWSPAPER OF GENERAL CIRCULATION IN THE
AREA IN WHICH THE MOLD IS LOCATED. SUCH WRITTEN NOTICE SHALL
CLEARLY INDICATE THAT THE MOLDER INTENDS TO TERMINATE THE CUSTOMER'S
RIGHTS AND TITLE TO THE MOLD DESCRIBED IN SUCH NOTICE AND SHALL
INCLUDE A RECITATION OF THE CUSTOMER'S RIGHTS, AS SET FORTH IN
THIS SECTION.
(III) IF A CUSTOMER DOES NOT RESPOND TO
THE WRITTEN NOTICE SENT PURSUANT TO SUBPARAGRAPH (II) OF THIS
PARAGRAPH (a) WITHIN ONE HUNDRED TWENTY DAYS AFTER THE DATE OF
SUCH NOTICE TO CLAIM POSSESSION OF THE MOLD OR DOES NOT MAKE OTHER
CONTRACTUAL ARRANGEMENTS WITH THE MOLDER FOR STORAGE OF SUCH MOLD,
ALL RIGHTS AND TITLE OF THE CUSTOMER TO SUCH MOLD SHALL TRANSFER
TO THE MOLDER. SUCH MOLDER MAY THEN DESTROY OR OTHERWISE DISPOSE
OF THE MOLD WITHOUT RISK OF LIABILITY TO THE CUSTOMER.
(IV) THE MOLDER SHALL MAINTAIN IN SUCH
MOLDER'S RECORDS FOR A PERIOD OF ONE YEAR A COPY OF THE NOTICE
SENT PURSUANT TO SUBPARAGRAPH (II) OF THIS PARAGRAPH (a), TOGETHER
WITH THE RETURN RECEIPT SIGNED BY THE ADDRESSEE, OR, IF SAID NOTICE
IS RETURNED UNCLAIMED, SAID NOTICE AND THE PROOF OF RETURN UNCLAIMED
SHALL BE SO MAINTAINED.
(b) NOTHING IN THIS SUBSECTION (3) SHALL
REQUIRE A MOLDER TO COMMENCE A JUDICIAL ACTION TO FORECLOSE ON
A MOLDERS' LIEN IF SUCH MOLD IS ABANDONED, AS SUCH TERM IS DEFINED
IN THIS SECTION, AND NOTHING IN THIS SUBSECTION (3) SHALL BE INTERPRETED
TO ELIMINATE ANY RIGHT OF ACTION A MOLDER MAY HAVE AGAINST A CUSTOMER
FOR UNPAID CHARGES, DAMAGES, COSTS, OR ATTORNEY FEES, IF PROVIDED
FOR BY CONTRACT.
SECTION 6. Effective
date applicability. (1) This act shall
take effect September 30, 1998, unless a referendum petition is
filed during the ninetyday period after final adjournment
of the general assembly that is allowed for submitting a referendum
petition pursuant to article V, section 1 (3) of the state constitution.
If such a referendum petition is filed against this act or an
item, section, or part of this act within such period, then the
act, item, section, or part, shall take effect on the specified
date only if approved by the people.
(2) The provisions of this act shall apply to dies, molds, forms, and patterns held by a molder on or after the applicable effective date of this act.
____________________________ ____________________________
Charles E. Berry Tom Norton
SPEAKER OF THE HOUSE PRESIDENT OF
OF REPRESENTATIVES THE SENATE
____________________________ ____________________________
Judith M. Rodrigue Patricia K. Dicks
CHIEF CLERK OF THE HOUSE ASSISTANT SECRETARY OF
OF REPRESENTATIVES THE SENATE
APPROVED________________________________________
_________________________________________
Roy Romer
GOVERNOR OF THE STATE
OF COLORADO