HB343 Alabama 2020 Session

Summary

Primary Sponsor

Shane StringerRepresentative

Republican

Session

Regular Session 2020

Title

Storage facilities, self-service, Self-Service Storage Facilities Act, created, definitions, operator's liens, authorized, Secs. 8-15-40 to 8-15-49, inclusive, added; Secs. 8-15-30 to 8-15-38, inclusive, repealed

Summary

HB343 creates the Self-Service Storage Facilities Act to replace the old Self-Service Storage Act, establishing operator liens, definitions, and sale procedures for defaulted storage leases, with notices, redemption, and sale proceeds rules, effective October 1, 2020.

What This Bill Does

The bill repeals the existing Self-Service Storage Act and replaces it with a new framework called the Self-Service Storage Facilities Act. It defines key terms, gives operators a lien on a tenant's stored property for unpaid rent and related charges, and sets out how and when that property can be sold. It requires notices to occupants and lienholders, provides rules for advertising and conducting a sale, explains how sale proceeds are used, and describes occupant redemption rights. It applies to rental agreements entered into, extended, or renewed after October 1, 2020.

Who It Affects

• Occupants (tenants of self-service storage facilities): their personal property in leased spaces can be liened for unpaid rent and other charges, may be sold after default, must receive notices, and may redeem by paying the amount due; they also cannot use leased space for residential purposes and bear risk of loss while property is in their care.
• Operators and lienholders (facility owners/managers and creditors): they gain a statutory lien on occupant property, can deny access and move property for sale, must follow notice and sale procedures, may buy at sale, and are entitled to proceeds from the sale to satisfy the lien, with specific rules on how proceeds are distributed.

Key Provisions

• Creates the Self-Service Storage Facilities Act (Article 2A) with defined terms such as DEFAULT, OCCUPANT, OPERATOR, PERSONAL PROPERTY, and COMMERCIALLY REASONABLE SALE.
• Authorizes an operator's lien on all personal property in a leased space for delinquent rent, late fees, and related charges, with the lien having priority over most other liens (except certain tax liens).
• Requires the rental agreement to include a bold notice about the lien and potential sale, and to disclose lienholder information provided by the occupant.
• Establishes a sale process for defaulted property (after 30 days), including 20 days’ notice to occupant and lienholders and a newspaper advertisement at least seven days before sale (or alternative advertising if value is low).
• Outlines redemption rights, operator purchase rights at sale, and the distribution of sale proceeds, including handling of proceeds for lienholders and occupants and a one-year claim period after sale for unclaimed proceeds.
• Allows denial of access and removal of property, including towing of vehicles, after default (with lien remains intact); requires compliance with notices and procedures to avoid liability for the operator.
• Provides notices and delivery methods (verified mail or electronic mail; procedures if delivery fails), and clarifies that good-faith buyers at sale take property free of disputed liens.
• Keeps occupant’s care and risk of loss with the occupant unless the rental agreement states otherwise; states the new act adds to, rather than replaces, existing rights under law.
• Repeals the prior Self-Service Storage Act and applies the new rules to rental agreements entered into, extended, or renewed after October 1, 2020, with the act becoming effective on that date.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Self-Service Storage Facilities