ARTICLE VII. ENFORCEMENT OF LIENS ON PERSONAL PROPERTY BY SALE. Section 80. Sale of personal property to satisfy lien. 81. Notice to owner. 82. Sale to be advertised. 85. Remedy not exclusive. Section 80. Sale of personal property to satisfy a lien.-A lien against personal property, other than a mortgage on chattels, if in the legal possession of the lienor, may be satisfied by the public sale of such property according to the provisions of this article. § 81. Notice to owner.- Before such sale is held, the lienor shall serve a notice upon the owner of such personal property, personally, if the owner is within the county where such lien arose, and if not, by mailing it to him at his last known place of residence. Such notice shall contain a statement of the following facts: 1. The nature of the debt or the agreement under which the lien arose, with an itemized statement of the claim and the time when due; 2. A brief description of the personal property against which the lien exists; 3. The estimated value of such property; 4. The amount of such lien, at the date of the notice. It shall also require such owner to pay the amount of such lien on or before a day mentioned therein, not less than ten days from the service thereof, and shall state the time when and place where such property will be sold, if such amount is not paid. If the agreement on which the lien is based, provides for the continuous care of property, the lienor is also entitled to receive all sums which may accrue under the agreement, subsequent to the notice and prior to payment or a sale of the property; and the notice shall contain a statement that such additional sum is demanded. Such notice shall be verified by the lienor to the effect that the lien upon such property is valid, that the debt upon which such lien is founded is due and has not been paid and that the facts stated in such notice are true to the best of his knowledge and belief. 82. Sale to be advertised.- Each sale of personal property to satisfy a lien thereon shall be at public auction to the highest bidder, and shall be held in the city or town where the lien was acquired. After the time for the payment of the amount of the lien, specified in the notice required to be served by the preceding section, notice of such sale, describing the property to be sold, and stating the name of the owner and the time and place of such sale, shall be published once a week, for two consecutive weeks, in a newspaper published in the town or city where such sale is to be held, and such sale shall be held not less than fifteen days from the first publication; if there be no newspaper published in such town, such notice shall be posted at least ten days before such sale in not less than six conspicuous places therein. § 83. Redemption before sale. At any time before such property is so sold, the owner thereof may redeem the same by paying to the lienor the amount due on account of the lien, and whatever legitimate expenses have been incurred at the time of such pay. ment in serving the notice and advertising the sale as required in this article. Upon making such payment, the owner of such property is entitled to the possession thereof. § 84. Disposition of proceeds. Of the proceeds of such sale, the lienor shall retain an amount sufficient to satisfy his lien, and the expenses of advertisement and sale. The balance of such proceeds, if any, shall be held by the lienor subject to the demand of the owner, or his assignee or legal representative, and a notice that such balance is so held shall be served personally or by mail upon the owner of the property sold. If such balance is not claimed by the owner or his assignee or legal representative within thirty days from the day of sale, such balance shall be deposited with the treasurer or chamberlain of the city or village, or the supervisor of the town, where such sale was held. There shall be filed with such deposit, the affidavit of the lienor, stating the name and place of residence of the owner of the property sold, if known, the articles sold, the prices obtained therefor, that the notice required by this article was duly served and how served upon such owner, and that such sale was legally and how advertised. There shall also be filed therewith a copy of the notice served upon the owner of the property and of the notice of sale published or posted as required by this article. The officer with whom such balance is deposited shall credit the same to the owner of the property, and pay the same to such owner, his assignee or legal representative, on demand and satisfactory evidence of identity. If such balance remains in the possession of such officer for a period of five years, unclaimed by the person legally entitled thereto, it shall be transferred to the general funds of the town, village or city, and be applied and used as other moneys belong. ing to such town, village or city. § 85. Remedy not exclusive. The provisions of this article do not preclude any other remedy by action or otherwise, now exist. ing, for the enforcement of a lien against personal property, or bar the right to recover so much of the debt as shall not be paid by the proceeds of the sale of the property. ARTICLE VIII. CHATTEL MORTGAGES. Section 90. Chattel mortgage to be filed. 91. Corporate mortgages against real and personal property. 92. Where filed. 93. Filing and entry. 94. Fees. 95. Mortgage invalid after one year, unless statement is filed. 96. Duration of lien of mortgage on canal craft. 97. Copies to be evidence of certain facts. 98. Mortgage, how discharged of record. Section 90. Chattel mortgage to be filed.-Every mortgage or conveyance intended to operate as a mortgage of goods and chattels, or of any canal boat, steam tug, scow or other craft, or the appur tenances thereto, navigating the canals of the state, which is not accompanied by an immediate delivery, and followed by an actual and continued change of possession of the things mortgaged, is ab solutely void as against the creditors of the mortgagor, and as against subsequent purchasers and mortgagees in good faith, unless the mortgage, or a true copy thereof, is filed as directed in this article. § 91. Corporate mortgages against real and personal property.— Mortgages creating a lien upon real and personal property, executed by a corporation as security for the payment of bonds issued by such corporation, or by any telegraph, telephone or electric light corporation, and recorded as a mortgage of real property in each county where such property is located or through which the line of such telegraph, telephone or electric light corporation runs, need not be filed or refiled as chattel mortgages. § 92. Where filed. An instrument, or a true copy thereof, if intended to operate as a mortgage of a canal boat, steam tug, scow or other craft, or of the appurtenances thereto, navigating the canals of this state, must be filed in the office of the comptroller, and need not be filed elsewhere. Every other chattel mortgage, or an instrument intended to operate as such, or a true copy thereof, must be filed in the town or city where the mortgagor, if a resident of the state, resides at the time of the execution thereof, and if not a resident, in the city or town where the property mortgaged is, at the time of the execution of the mortgage. If there is more than one mortgagor, the mortgage, or a certified copy thereof, must be filed in each city or town within the state where each mortgagor resides at the time of the execution thereof. In the city of New York, such instrument must be filed in the office of the register of the city and county of New York; in the city of Brooklyn, in the office of the register of the county of Kings, and in every other city or town of the state, in the office of the city or town clerk, unless there is a county clerk's office in such city or town, in which case it must be filed therein. $93. Filing and entry.- Such officers shall file every such instru ment presented to them for that purpose, and indorse thereon its number and the time of its receipt. They shall enter in a book, provided for that purpose, in separate columns, the names of all the parties to each mortgage so filed, arranged in alphabetical order, under the head of "mortgagors" and "mortgagees," the number of such mortgage or copy, its date, the amount secured thereby, when due, the date of the filing thereof; and, if the mortgage be upon a craft navigating the canals, and filed in the office of the comptroller, the name of the craft shall also be inserted. § 94. Fees.-The several clerks and registers are entitled to receive for services hereunder, the following fees: For filing each instrument, or copy, six cents; for entering the same as aforesaid, six cents; for searching for each paper, six cents; and the like fees for certified copies of such instruments or copies as are allowed by law to clerks of counties for copies and certifi cates of records kept by them. The comptroller is entitled to receive the following fees for services performed under this article, for the use of the state: For filing each instrument or copy and entering the same, twenty-five cents; for searching for each paper, twenty-five cents; and the like fees for certified copies of such instruments or copies, as are allowed by law to be charged by the Vol. I 68 comptroller for copies and certificates of records kept in his office. No officer is required to file or enter any such paper or furnish a copy thereof, until his lawful fees are paid. $95. Mortgage invalid after one year, unless statement is filed.A chattel mortgage, except as otherwise provided in this article, shall be invalid as against creditors of the mortgagor, and against subsequent purchasers or mortgagees in good faith, after the expiration of the first or any succeeding term of one year, reckoning from the time of the first filing, unless, 1. Within thirty days next preceding the expiration of each such term, a statement containing a description of such mortgage, the names of the parties, the time when and place where filed, the interest of the mortgagee or of any person who has succeeded to his interest in the property claimed by virtue thereof, or 2. A copy of such mortgage and its endorsements, together with a statement attached thereto or endorsed thereon, showing the interest of the mortgagee or of any person who has succeeded to his interest in the mortgage, is filed in the proper office in the city or town where the mortgagor then resides, if he is then a resident of the town or city where the mortgage or a copy thereof or such statement was last filed; if not such resident, but a resident of the state, a true copy of such mortgage, together with such statement, shall be filed in the proper office of the town or city where he then resides; and if not a resident of the state, then in the proper office of the city or town where the property so mortgaged was at the time of the execution of the mortgage. § 96. Duration of lien of mortgage on canal craft.-Every mortgage upon a canal boat or other craft navigating the canals of this state, filed as provided in this article, shall be valid as against the creditors of the mortgagor and against subsequent purchasers or mortgagees in good faith, as long as the debt which the mortgage secures, is enforcible. From the time of filing, every such mortgage shall have preference and priority over all other claims and liens, not existing at the time of such filing. § 97. Copies to be evidence of certain facts. A copy of any such original instrument, or of a copy thereof, including any statement relating thereto, certified by the officer with whom the same. is filed, may be received in evidence, but only of the fact that such instrument, or copy, or statement was received and filed according to the endorsement thereon; and the original endorsement upon such instrument or copy may be received in evidence only of the facts stated in such endorsement. |